French recovery package provides green opportunities for Danish companies

France is utilising the COVID-19 crisis to boost green initiatives. According to a new analysis from a French consulting firm, this will help expand the market and will increase the demand for green solutions that could easily come from Danish companies.

France has been hit hard by the Coronavirus pandemic. Thus, the country is looking to create new jobs by accelerating its green transition.

EUR 100 billion have been set aside to restart the economy, of which 40 billion come from the EU. This is 9.5% of the French GDP, and the largest aid package in the EU (measured as a share of GDP).

Almost a third of the aid package is targeted at sustainable development. The goal is to improve energy efficiency in multiple sectors, and boost long-term, structural change in France, to create a low-emission economy.

“The French recovery package is a major cash injection in 2021 and 2022 to improve the energy efficiency of buildings, to decarbonise the industry and to get the new hydrogen sector off the ground. Danish green companies now have the opportunity to enter the French market and secure significant market shares of the energy transition boon in the long run.”- states Guillaume Neveux, the Founding Director of the French consulting agency I-CARE & CONSULT.

New report shows great potential
The consulting agency, which specialises in the green transition, has prepared the report Strategic Analysis of Danish Export potential related to French EU recovery action plan, “French Relance” with a sustainability for the Danish embassy in France.

The cooperation between I-CARE & CONSULT and the Danish embassy takes place in connection with the Ministry of Foreign Affairs’ special focus on helping Danish green export companies. These include small and medium-sized companies, for which the government has allocated funds in Denmark’s recovery package.

"There are great opportunities for Danish-French cooperation within France's green transition. French companies can benefit from Danish companies’ know-how and experience with green solutions. Danish companies also may have the chance to cooperate with some of the major French players in the global market," says Michael Starbæk Christensen, Denmark's ambassador to France.

The report provides a concrete overview of the opportunities in the three sectors in which Danish companies are at the forefront, or in which Denmark has a strategic interest in the development of products and processes that can meet French demands.

EUR 6.7 billion are set aside to encourage better energy efficiency of French buildings. EUR 1.2 billion have been set aside for the decarbonisation of the country’s industry. To boost the development of a new, green hydrogen economy, EUR 2 billion will be made available by the government.

Danish companies can get help
The consulting agency’s analysis provides insight into the opportunities for Danish companies in France, with an overview of the country’s financing programs and the different types of projects.

“France wants to lead the way in Europe to reduce its greenhouse emissions in order to transition to a resource-efficient and low-emission economy quickly. So in addition to the recovery package, there is a positive attitude among banks, investors and public actors to help public institutions as well as companies on their journey towards a climate-friendly, low-emission modernisation”, states Guillaume Neveux.

During the Corona crisis, the Ministry of Foreign Affairs and its network of embassies around the world have a strong focus on supporting Danish exports as a critical source of Denmark’s prosperity.

The French recovery package is an economic boost to help France reach its ambitious climate goals. At the same time, it is a unique chance for Danish companies to position themselves strategically and secure a sustainable market share well after 2022.

Read the full report here

Facts:

• France’s recovery package is worth EUR 100 billion. EU’s largest in terms of GDP.
• EUR 6.7 billion for the decarbonisation of industry.
• EUR 1.2 billion Euro for research and development of hydrogen.
• Trade Council Paris at the embassy helps Danish companies with exports to France. During the COVID-19 crisis, the Ministry of Foreign Affairs and Danish embassies have a special focus on supporting Danish exports.

For more information about the findings, participate in the forthcoming webinar on 9th March by registering here

Karen-Luise Johansen Geslin
Senior Eksportrådgiver og Teamleder Energi, Miljø og Vand sektoren, Trade Council Paris
Den danske ambassade til Frankrig
Tlf.: +33 1 44 31 21 18 mobil: +33 6 32 637 658
E-mail: karges@um.dk

Guillaume Neveux
Direktør og Founding Partner I-Care & Consult
Tlf.: +33 1 43 66 87 27
E-mail: guillaume.neveux@i-care-consult.com