Electricity prices: the government canceled the increase planned for August 1

by time news

2024-07-15 09:07:07

The game was probably not worth the effort. While the country is currently going through a structural crisis, following the dissolution of the National Assembly that Emmanuel Macron wants on June 9, the government does not want to add more fuel to the fire. And the increase in electricity prices which was planned for August 1 will not take place in the end.

Like every year at this time, the Energy Regulatory Commission (CRE) updates its statistics about one of the main taxes which are measured on electricity prices: TURPE (price for the use of public electricity network). This fee, paid by all providers so that their electronics are authorized to use the national network, must a minimum covers the costs of use, maintenance and rehabilitation of 106,000 km of high voltage lines, but also 1.4 million km of medium and low voltage lines which connect homes and businesses.

“Common sense decision”

Due mainly to the integration of renewables into electricity production, but also to decarbonization goals, these prices have continued to rise for several years. “Important investments on high voltage lines are estimated at 100 billion euros by 2040,” recalls the Ministry of Energy. To which must be added an additional 100 billion euros for the secondary network. »

This “money” accounts for around a third of the composition of the legal electricity sales price (TRVE). Another third is directly linked to production or purchase, and to business costs, while the third is directly based on taxes.

This year, this tax for the transmission of electricity on the network is, according to CRE estimates, to increase by 4.81%. “This would have led to an increase of 10 to 40 euros in the French bill,” warned Roland Lescure, Deputy Minister in charge of Industry and Energy. Even though the forecasts allow us to expect a normal expectation or even a big decrease in the coming months. » The current stagnation observed on wholesale markets will certainly affect machine prices in the coming months. “This resolution (to cancel the increase in the electricity tariff) So both a common sense decision, and it helps to protect consumers from an unnecessary increase, “added the Minister of Energy.

A 40% increase in the money for two years

It is true that this “yo-yo” of unlimited prices greatly disturbed the French. Their electronic money has increased by more than 40% in the last two years. And that of gas has to match: it also jumped by 12% on July 1, a day after the first round of early legislative elections. Enough to sow panic among executives. Especially since the National Rally immediately took the subject to reject the government’s energy and pricing policy, and reiterated its intention to reduce VAT on energy products (gas, electricity, fuel oil, oil) from 20% to 5.5%.

There is no question, while no majority or Coalition is emerging for the time being in the future National Assembly, of giving new opposition. “For the following decision (plan for early October), I will ask CRE to develop forecasts which allow long-term visibility for customers,” Roland Lescure explained further. A dangerous bet: because of whatever the movements of the markets, it will be necessary at one time or another to launch significant investments in the network. And there is no doubt that buildings will also be fully affected.

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