PARIS: French utility EDF is not considering selling a stake in power grid operator RTE to cut its debt, a government official said on Sunday, denying a report in Le Journal du Dimanche.
The Sunday newspaper, citing several unnamed sources including a government official, wrote that EDF was considering selling a stake in its RTE subsidiary.
But a spokesman at the Ecology and Energy Ministry, which oversees EDF, ruled it out.
"Opening up the capital of RTE is not on the agenda and is, for us, not to be envisaged," the spokesman said.
Like other European utilities, EDF faces falling demand due to weak economic conditions and a drive for greater energy efficiency.
Le Journal du Dimanche quoted an unnamed government source saying: "Considering the financial situation of EDF the question (of a RTE stake sale) arises."
EDF Chief Executive Henri Proglio said last month the company, Europe's No. 1 electricity producer, was not under pressure to sell assets to cut debt.
Pro forma net debt, taking into account the one-off renewables refund, rose to 39.2 billion euros at the end of 2012, above the 2011 level of 33.3 billion, but below a 42 billion consensus.
Comments
Comments are closed.