During the public meeting of January 7, 2024, the Pennavel company, winner of the Bretagne-Sud wind power call for tenders, presented its project in a climate of mistrust, marked by doubts concerning its financial stability.
The meeting, organized to detail Pennavel's plans after the withdrawal of its Norwegian competitor Equinor, raised more questions than answers. Participants were hoping for clarification on the repercussions of the financial crisis affecting BayWa re, a 50% shareholder of Pennavel, but encountered a presentation deemed disconnected from current realities.
A major crisis at BayWa re
On December 20, BayWa re revealed a massive restructuring imposed by its creditors due to colossal debt, compromising the strength of the company. This situation calls into question BayWa re's commitment to renewable energy projects, including that carried out by Pennavel.
The directors of Pennavel, A. de Fombelle and A. Logodin, however assured that this crisis in no way affected the Brittany-South project. They emphasized BayWa re’s priority support for renewable initiatives.
Worrying shareholder tensions
Despite these assertions, the trust between the two shareholders of Pennavel, BayWa re and the Belgian Elicio, seems shaky. Proof of this is: their separation to compete independently for the next AO9 wind project, despite the obvious synergies that a collaboration could have offered. This climate of uncertainty is aggravated by the involvement of government authorities, accused of having been deceived about the financial solidity of Pennavel during its appointment last May.
Faced with these concerns, six associations, including Gardiens du Large and the Sustainable Environment Federation, contacted the Council of State to contest the award of the project to Pennavel. These organizations denounce a choice based on financial criteria that are now obsolete and a worrying fragility for a project of such scale.
Another notable element was raised: the cost of the electricity connection of 1.6 billion euros for the 750 MW planned in South Brittany, an amount which could be passed on to consumers' bills. The future of Pennavel therefore seems to hang on the decision of the Council of State and the financial developments of BayWa re. A file to be followed closely for the Breton energy industry and its inhabitants.
Photo credit: DR
[cc] Breizh-info.com2025, dispatches free to copy and distribute subject to mention and link to the original source
