Andorra's Xavier Espot Signs EDF Addendum for Flexible Energy Supply from 2029

Andorra's head of government and FEDA president, Xavier Espot, signed an addendum to the collaboration agreement with EDF president and CEO Bernard Fontana in Paris on Monday. The agreement addresses energy sector challenges, including supply security, price volatility, and decarbonisation, while laying groundwork for a new long-term electricity import model after the current contract expires in 2029.

FEDA and EDF are developing a flexible system that combines various contract types to limit exposure to market price fluctuations and ensure energy availability. This approach will account for shifts in demand, growth in Andorran electricity production, and contributions from the L'Hospitalet hydroelectric plant. EDF will help structure these contracts and cover risks tied to price swings, with joint teams already identifying suitable options to maintain uninterrupted supply.

Espot said the energy landscape has evolved recently, requiring updated collaboration to mitigate associated risks. He stressed EDF's essential role in addressing supply security, competitiveness, and decarbonisation. Fontana noted that the partnership bolsters Andorra's supply with competitive, sovereign, low-carbon power.

The addendum also covers ongoing work at L'Hospitalet—presented to French co-prince Emmanuel Macron in April—to increase winter output amid peak demand and high import costs. It supports Andorra's target of 50% domestic electricity generation by 2050. Additional efforts include wind energy projects, grid upgrades, energy efficiency measures, and transition studies.

FEDA director general Sílvia Calvó attended the signing, which updates a 35-year partnership renewed in 2024 amid geopolitical tensions and market pressures.