RTE strengthens its strategic supplies with five European suppliers

RTE has contracted with five suppliers – Prysmian, Nexans, NKT-SolidAl and Hellenic Cables – to secure underground power cables supplies for its projects until 2028. Worth a total of almost one billion euros (€), this commitment covers the supply and installation of around 5,200 kilometers of underground cables for voltage levels ranging from 90,000 to 400,000 volts.

As part of this contract of almost one billion euros (€), all cables will be produced exclusively in Europe (France, Portugal, Greece, Belgium, Italy, Germany and the Netherlands), at a cost of 668 million euros. These contracts also cover cable installation and assembly services (for around 300 million euros).
One third of the cables will be produced in France, at both the Prysmian plants in Gron (Yonne) and Montereau-Fault-Yonne (Seine-et-Marne) and the Nexans plant in Bourg-en-Bresse (Ain). With this commitment, RTE is reserving almost all of the French production capacity still available until 2028, for the production of more than 1,700 km of cables.

Securing these strategic supplies is essential for RTE to if we are to meet future requirements for developing and strengthening the electricity transmission network.

These contracts are a concrete evidence of the new industrial strategy and purchasing policy set out by RTE, which will be at the heart of its future strategic network development plan for the next 15 years. This policy is based on anticipating needs, standardising equipment, mass production and extending contract length (from 5 to 8 years).

It aims at offering sufficient visibility to suppliers to enable them to develop their production capacities in France and Europe.

Such a strategy is already proving its relevance by allowing Prysmian to invest in a new cable production line in Seine-et-Marne. RTE thus contributes to France’s reindustrialisation and economic development.

These contracts illustrate how the investments made by RTE to upgrade the French grid can contribute to developing employment and economic growth in France. They also reflect RTE’s determination to join forces effectively with other industrial partners to adapt the French grid to support the country’s transition towards carbon neutrality by 2050.

Xavier Piechaczyk, President of the Board at RTE: “The electrification, decarbonisation and reindustrialisation of France are synonymous with major investments in the electricity transmission network over the coming years. This new partnership with five major cable makers not only allows us to secure the equipment needed to support the energy transition, but also shows the impact that investing on moving away from fossil energies can have on the French and European manufacturing industry, driving economic growth and employment.”

Massimo Battaini, CEO at Prysmian: “The European electrical landscape is undergoing profound changes to make the energy transition a reality, and grids are becoming the backbone of the energy transition: we are proud to support our customers in this journey. This award confirms Prysmian’s role as a trusted partner, with an attentive focus on the speed, quality and reliability that is needed to develop more efficient and greener power grids. The award also represents an exceptional opportunity for Prysmian to actively contribute to the local economic and social development of our sites in France with continued investments aimed at leveraging know-how and technologies available on the territory and creating new jobs.”

Christopher Guérin, CEO at Nexans: “This partnership with RTE marks a strategic step towards the energy transition in France and Europe. By ensuring local and sustainable production of underground power cables, we strengthen the electricity network’s resilience but also contribute to the economic development of the territories. Nexans is proud to put its expertise at the service of this common ambition for a more reliable electricity grid and a stronger industry.”

Claes Westerlind, President and CEO at NKT (including SolidAl): “We are excited to continue the long-term collaboration with RTE as they modernize and strengthen France’s power grid and support the transition to renewable energy. We have been working with RTE since 2011 and in 2023 we were awarded the supply of the cables for the Biscay Gulf Interconnector between Spain and France. With the acquisition of SolidAl, we improved our geographic reach in new and existing markets. We look forward to building upon this success by supporting RTE and France’s grid upgrades in the coming years.”

Alexis Alexiou, CEO of Cenergy Holdings (Hellenic Cables): “We are honoured to be part of RTE’s ambitious initiative, which not only strengthens France’s energy infrastructure but also emphasizes sustainable, European-made solutions for the regional electricity transmission network. Hellenic Cables has been continuously expanding its production output, aiming to support network development initiatives, and is committed to delivering high-quality, advanced cable solutions that align with France’s energy transition goals and RTE’s strategic vision.”

While demand in electricity is booming, cables and accessories are key elements of the electricity value chain to transport the energy produced to its point of consumption.

At the heart of its DNA, Nexans offers fully integrated turnkey solutions to Distribution System Operators (DSO) to gradually modernize their networks: these solutions range from cables and accessories (transformers, switches, splices and cable ends) to the most advanced services for the operation, optimization and maintenance of networks.

Massive investments of around 4.4 trillion euros by 2030 will be made for the development of networks, mainly due to global electrification and the development of renewable energies. All over the world, DSOs are facing an increase in investments to develop and replace electricity networks: Nexans is supporting them, offering turnkey solutions for electrification through long‑term framework agreements.

In this context, Nexans has been awarded a major contract to supply a leading Italian utility with 6,000 km of low- and medium-voltage power distribution cables and services to support the energy transition in Italy, beginning in February 2024 and for a duration of 16 months. This contract reinforces Nexans’ position as a long-term partner of the utility and as a major player of sustainable electrification.

The low-and medium-voltage cables will be manufactured at Nexans Italian plant in Battipaglia and will be using 100% guaranteed low-carbon aluminum, reducing the greenhouse gas emissions by 35% to 50%, depending on the products. In addition to reducing greenhouse gas emissions, these products will be employed in underground powerlines, which are designed to be more resilient to the increasingly frequent extreme climate phenomena that affect power distribution infrastructure worldwide.

Through this collaboration, Nexans once again demonstrates its deep commitment in developing sustainable solutions to answer its strategic clients’ challenges.

Additionally, the ULTRACKER DRUMS solution will assist the utility in tracking and managing the delivery of their cables on site, enabling real-time geolocation of cable drums thanks to edge-computing technologies, and providing unique advantages such as shipments follow-up, theft detection, remote monitoring, residual cable length management, and a streamlined drum pick-up.

Nexans is happy to announce its membership to the Current/OS Foundation, a non-profit, open and independent foundation for the promotion and adoption of active direct current (DC) microgrids.

Make the transition to DC-powered buildings a reality

Cables are a fundamental part of a building’s electrical infrastructure in the transition to DC-powered structures: Nexans is committed to design and manufacture cable systems that are compatible and optimized with future DC building infrastructures.

DC is a game-changer in tomorrow’s energy transition

Max-André Delannoy, Group Technical & Innovation VP at Nexans, explains : “we already live in a DC world: electronic devices, solar generation, battery energy storage systems, LED lighting, electric vehicles, ventilation and air-conditioning systems are all DC-powered. But all these devices are interfaced by AC/DC converters that introduce significant losses during conversion. DC is a game-changer in tomorrow’s energy transition for a more efficient, smarter electrical infrastructure. It is essential for Nexans to better understand such architecture and its deployment in buildings, to develop the most suitable cable solution. Joining Current/OS and leveraging Nexans’s expertise, we are helping to make the vision of smart, connected, sustainable DC-powered structures a reality.”

Towards unified standards and codes

Several challenges need to be addressed for the adoption of DC-powered buildings to become widespread. One of the significant challenges is the uptake by industry professionals who have extensive knowledge and experience in AC power. It will take a collective effort by industry leaders, manufacturers, and regulators to educate and train professionals on DC-powered infrastructure.

In addition, building standards and codes need to be built to address specifications for DC-powered devices. This will ensure that buildings are designed and constructed with DC infrastructure in mind and that the safety and performance requirements for DC-powered devices are met.

The Foundation was set up to assure the availability of the Current/OS Set of Rules to any product manufacturer. It aims to come to a unified standard for DC microgrid control purposes. The Foundation provides its partners with an open set of rules and clear guidelines on how to manufacture products that work in a Current/OS based DC environment.

By joining the Foundation, Nexans is showing its commitment to innovate to make possible the transition to more efficient electrical systems.