Public support for this transition will double from €5.5 billion today to €10 billion per year by 2030. The main objectives are:

• Reduce the weight of fossil fuels in total consumption from 60% today to 40% in 2030 and 29% in 2035.
• Increase the share of decarbonized energy to 60% in 2030 and 71% in 2035.
• Achieve 55% industry electrification by 2035.

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Housing and Building

The real estate sector is one of the priorities due to its high dependence on gas and oil for heating.

• Ban on gas boilers: From the end of 2026, no gas boilers may be installed in new construction.
• Boosting heat pumps: A target of installing 1 million heat pumps per year by 2030 is set. Public aid will be increased by up to 2,000 euros to ensure that the investment is amortized in three years.
• Social housing: Two million social housing units must abandon the use of gas by 2050.
• Zero Gas Territories: 100 territories will be selected to lead a total gas phase-out trajectory by 2030.

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Transportation and Mobility

The plan seeks to make transportation no longer vulnerable to oil price shocks.

• Electric Vehicles (EVs): The goal is that two out of three new cars sold in 2030 will be electric. France aims to produce 1 million EVs per year by that date.
• Social Leasing: 50,000 additional vehicles with moderate leases for modest households will be launched in June 2026.
• “Large Drivers”: a specific device is created for workers who travel many kilometers (nurses, caregivers, craftsmen) with incomes of up to 2,000 euros net, offering rents from 100 euros per month or purchase aid of up to 9,500 euros.

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Companies, SMEs and Industry

For the first time, the government is introducing specific electrification measures for the productive fabric.

• Heavy vehicles: Aid of up to 100,000 euros per vehicle is established for SMEs to acquire electric trucks and vans.
• Work tools: The electrification of professional equipment such as industrial ovens, rotisseries and agricultural, fishing or public works machinery will be encouraged.
• Industrial decarbonization: The plan seeks to transform large industrial and agri-food sites away from fossil fuels.

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Challenges Identified

Despite the ambition of the plan, sources point to significant challenges. The total cost of electrification is estimated at €82 billion per year, raising doubts as to whether current public subsidies will be sufficient for businesses and households.

In the industry, the transition cost is around 10 billion per year, while current state support is only 1 billion, which could affect international competitiveness.

Moreover, there is a risk of electricity overproduction if supply (nuclear and renewables) grows as expected but demand (electrification of uses) does not accelerate at the same pace due to users’ lack of financial means.