Gas demand in France lags behind its neighbours in Europe, with nuclear dominating the power sector, while gas suffers low penetration in the residential sector. However, gas is expected to make gains in the power sector over the forecast as France aims to phase out coal-fired power by 2022, while reducing nuclear output to 50% of its power mix by 2025 – from around 75% today. France moved to a single gas-trading zone in November 2018, merging the two existing hubs, PEG Nord and TRS. The union created the unique Trading Region France. The merger is expected to improve the liquidity of the French gas market, eradicate price spikes in the south of the country and encourage gas consumption There will be challenges to organic growth in gas demand as France's economic and industrial forecasts are less than impressive. While the remaining heavy industry shows resilience to further declines, sectors of industry that rely heavily on gas show no sign of revival despite efforts by government.