Brussels: The European Commission has initiated an extensive investigation into the French government's support for the construction of six new nuclear reactors by EDF, a state-owned utility company. This decision marks a significant step as the Commission evaluates the conformity of the French plan with EU state aid rules.

According to Anadolu Agency, the Commission emphasized the complexity of the investigation and the necessity for close cooperation with French authorities to facilitate a thorough and swift assessment. Paris had previously submitted a request for EU approval last year, seeking measures to support EDF's ambitious project.

The proposed plan involves EDF receiving a subsidized public loan that could cover up to 60% of the construction costs. Additionally, a "contracts for difference" mechanism would be implemented on the electricity produced, ensuring the repayment of the loan. This scheme is a crucial component of France's strategy to rejuvenate its aging nuclear fleet and increase its capacity by approximately 10 gigawatts, with the first reactor expected to be operational by 2038.