Response to the French Government on selling new RES long term products

We see the appeal of fostering liquidity in the long-term markets with products at 8–10-year maturities, and the possibilities to improve hedging options. We note that the current market products already exist for long-term horizons and stress the importance of safeguards to avoid distorting existing, non-regulated products available on the market through a new mechanism.

The Government should prioritise ensuring well-functioning markets and integrating market signals into RES support mechanisms before shifting focus to new products that overlap with market instruments.

We call for keeping the debate on the potential introduction of new products open and transparent, and further research on the demand for such long-term products.

Should these new products be offered, we recommend a testing phase and a gradual implementation with the volumes into the market and making sure they are available for all EU market participants.