Brussels, July 19, 2025 – The Europe Today: The Flemish government has announced a major €1.56 billion investment through its investment arm PMV to reinforce the region’s electricity network infrastructure. The funding will support network operator Fluvius in carrying out urgent upgrades without resorting to private capital, thus ensuring the grid remains under public ownership.
In a joint statement, Minister-President Matthias Diependaele (N-VA) and Deputy Ministers-President Melissa Depraetere (Vooruit), Hilde Crevits (CD&V), and Ben Weyts (N-VA) emphasized the importance of maintaining public control over essential energy infrastructure. “Flanders must remain in control of its network infrastructure,” said Minister Depraetere. “Only in this way can we strengthen our infrastructure and protect the purchasing power of the Flemish people.”
Fluvius CEO Frank Vanbrabant had warned in June of the company’s urgent need for additional funding. Without it, Fluvius risked a downgrade in its Moody’s credit rating, which could increase borrowing costs and pressure energy tariffs. The new investment averts those risks, allowing for necessary grid modernization in the face of growing demand and the energy transition.
The Flemish government had to choose between private participation or a public investment strategy. Ultimately, the decision was made to reject private financing and ensure Fluvius, which is municipally owned, remains in Flemish hands.
Energy Minister Depraetere explicitly referenced past energy policy missteps: “We will not make the same mistake we made in the past with Engie. The French multinational is now making huge profits at the expense of the Flemish people, who are paying through their noses for energy.”
Minister-President Diependaele described the investment as targeting a “reliable, future-oriented network,” while Minister Crevits emphasized that the move also supports municipal financial stability. Finance Minister Ben Weyts assured that the investment would not negatively affect the region’s budget.
The financial operation’s structure is still being finalized, but legislative steps are already in motion. The first phase will include amending the Energy Decree, followed by a simplification of intercommunal structures and tariffs in the next municipal term.
However, the plan has drawn criticism from opposition party Open VLD, which accused the government of engaging in excessive state intervention. Open VLD leader Egbert Lachaert said on social media, “This government thrives on state capitalism, from Brussels Airport to sidelining private Fluvius investors. Debt is skyrocketing.”
The recent decision to invest €2.77 billion in Brussels Airport, making the Flemish government its largest shareholder, has added fuel to the opposition’s critique of the administration’s public investment strategy.
Despite the political debate, the government maintains that the decision is vital to secure energy security, affordability, and long-term regional control over critical infrastructure.
