EDF Faces $11 Million Fine Over Hinkley Point C Nuclear Project. Electricite de France SA faces a possible $11 million fine after being accused by French regulators of providing false information on the Hinkley Point C nuclear project and lacking transparency concerning new circumstances that ramped up its cost. In October 2014, EDF announced it would build the U.K.’s first nuclear reactors since 1995 after reaching a deal with the government on guaranteed prices for the power they’d generate. The energy firm also said the project would benefit from a British credit guarantee on conditions that were yet-to-be agreed. EDF and former chief executive officer Henri Proglio should have specified in a statement a year later that the U.K. had said it would impose heavy equity requirements to provide the credit guarantee, according to Bernard Field, an official at the Autorité des Marchés Financiers. Those were a game-changer, he said at a Friday hearing of the regulator’s enforcement committee. EDF and its current CEO Jean-Bernard Levy were also criticized for taking too long to warn the market that the company would bear more costs and would consolidate the investment by global integration. Field, who plays the role of a devil’s advocate in the case, listed investigators’ allegations but said he disagreed with them on the second accusation. Virginie Adam, the AMF official who spoke on behalf the regulator’s prosecuting body, said EDF should be fined 10 million euros ($11 million) for both alleged wrongdoings while Proglio and Levy should each get a 50,000-euro fine. EDF denies the accusations as did the two men who said they didn’t understand what they did wrong.
Bloomberg 26th June 2020 read more »
The College of the AMF has requested a sanction of 10 million euros against EDF, as well as against two of its directors. The stock market policeman criticizes him for failures in the group’s communication related to the construction of two nuclear reactors at Hinkley Point. Henri-Proglio, CEO from 2009 to 2014, risks a fine of 50,000 euros, the current CEO Jean-Bernard Lévy also.
Les Echos 26th June 2020 read more »
Seeking Alpha 26th June 2020 read more »