Read More: France launches big green recovery plan
On September 3, 2020, the French government unveiled details about the country’s new EUR 100 billion economic stimulus package. It is meant to increase the competitiveness of the French economy, boost jobs, and green the economy. One third of the stimulus package, which amounts to 4% of the GDP, is allocated to green measures. According to The Guardian, these investments include:
- About EUR 11 billion for the transport sector: EUR 5 billion for the national railway network, EUR 1 billion for measures encouraging cycling, and EUR 2 billion for incentives for drivers to switch to cleaner cars.
- More than EUR 7 billion for energy-efficiency improvements for public buildings like schools and town halls but also for private office buildings and private homes. Subsidies will, for instance, be paid for better insulation or more energy-efficient boilers.
- About EUR 9 billion to support the green transition of the French industry, aiming to reach carbon neutrality by 2050. Within that, EUR 3 billion is earmarked for decarbonization measures, for example, for the development of green hydrogen technologies.
- EUR 1.5 billion is designated for greening the food sector, for example, by developing shorter supply chains.
While the government is considering the stimulus package a “big green recovery plan,” critics say that it is a step in the right direction but falls short of the bigger investments and structural changes necessary to green the French economy.