France: Market Opportunities for Foreign Companies in Water, Energy, and Environment

France’s Sustainability Momentum

France’s environmental transition is accelerating under the National Low-Carbon Strategy (SNBC) and the France 2030 investment plan, which allocates over €54 billion to green innovation (France Stratégie, 2025). The country has made significant progress toward EU Green Deal targets, with renewed focus on water resource management, energy decarbonization, and biodiversity restoration (European Environment Agency, 2025).

France combines a large domestic market, advanced regulatory frameworks, and funding opportunities – ideal conditions for innovative foreign companies. At Pollutec 2025, one of Europe’s largest environmental technology exhibitions, strong international participation, notably from Canada, Germany and Benelux, reflected France’s attractiveness in implementing new sustainable technologies.

Wind turbines in the Camargue region of Provence, France.

Spotlight on Canada

Over the past two years, the Canadian government has signed numerous scientific and commercial cooperation agreements with European partners, including France, in areas such as clean hydrogen, renewable energy, critical minerals, and civil nuclear power. Canadian companies have secured major contracts in various European energy sectors, highlighting opportunities for international collaboration in France’s sustainability market (Government of Canada, 2024).

For further insights, see the article Canada seeks stronger ties with EU on the country’s strategic partnerships, green technology initiatives, and emerging business opportunities in Europe.

Sector Opportunities for Foreign Firms

Water Sector: Digital, Circular, Efficient

The need to replace aging networks, comply with the EU Water Framework Directive, as well as, safeguard supplies amid recurring droughts (Statistiques Développement Durable, 2022); made investing in water infrastructure a national priority. Therefore, cities and utilities are actively seeking:

  • Smart water management and leak detection (IoT sensors, digital twins)
  • Rainwater and greywater reuse systems
  • High-efficiency membranes and eco-friendly chemicals

These opportunities are driven by both public entities (Ville de Paris, Lyon Métropole) and private actors, all of whom are open to international investment and partnerships, including major companies such as Veolia and Saur (International Trade Administration, 2024).

 Water treatment plant in Montpellier, France.

Figure 1. Water Infrastructure Investment Trends.

Energy Sector: Renewables, Storage, Decentralization

By the first quarter of 2025, renewables accounted for over 30% of France’s energy mix, with a target of reaching 38% by 2030 (European Environment Agency, 2025). The country’s energy transition is supported by streamlined permitting processes, and industrial policies that promote technology transfer and innovation through the France 2030 investment plan (OECD, 2025) – creating favorable conditions for both domestic and international companies.

Key areas of opportunity include:

  • Solar photovoltaic (PV) module supply, wind project development, and grid optimization
  • Battery storage and prosumer/self-consumption technologies
  • Emerging markets for green hydrogen and smart grid solutions

Figure 2. Share of renewable energy in France’s final energy consumption, showing steady growth toward 2030 targets.

Notably, the Occitanie Hydrogen Valley project in southern France is developing one of Europe’s largest integrated hydrogen ecosystems, combining solar-powered electrolysis with industrial uses and regional mobility hubs. The initiative encourages partnerships in hydrogen storage, fuel cell technologies, and smart grid integration (H2 Mobile, 2025).

Green hydrogen production facility in Bessières, Occitanie.

Environmental Technologies: Circular Economy and Waste Innovation

The national Anti-Waste for a Circular Economy Law (AGEC) and extended producer responsibility (EPR) schemes are transforming how businesses manage materials.

French industries are under increasing pressure to:

  • Reduce single-use plastics by 50% by 2030
  • Recycle 100% of construction waste by 2025
  • Adopt life-cycle management tools across value chains

This is driving demand for:

  • Recycling and sorting technologies (AI-powered optical sorting, robotics)
  • Industrial symbiosis tools that repurpose waste into resources
  • Consulting and auditing services focused on environmental compliance

Entering the French Market: How to Succeed

Success in France’s green economy depends on understanding both public procurement frameworks and local ecosystems.

Key recommendations for foreign firms:

  • Partner locally: Collaborate with municipal operators or clusters for access to pilot projects.
  • Leverage EU funding: Horizon Europe and LIFE programs support cross-border R&D.
  • Engage in innovation challenges: Agencies such as ADEME (French Environment and Energy Management Agency) co-fund demonstration projects.
  • Communicate sustainability credentials: French clients value environmental transparency and measurable impact.

International business meetings during the Green Days at Pollutec 2025.

Conclusion

France’s environmental transformation is generating a fertile landscape for international collaboration. Supported by ambitious government policies, substantial public and private financing, and a strong culture of innovation, the country stands at the forefront of Europe’s green transition. Strategic initiatives in water management, renewable energy, hydrogen, and circular economy solutions are driving new markets and investment potential.

For global investors and institutional partners alike, France represents more than a market – it is a trusted platform for sustainable innovation and long-term growth, where collaboration fosters both environmental progress and economic resilience.

 

➡️ Check out our LinkedIn post for a snapshot of how TRANSFER coordinated high-value B2B matchmaking between leading Canadian innovators and key French ecosystem actors at Pollutec 2025.

References

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