Regulated tariffs for the sale of electricity will increase by 1.54% in France on August 1, the government confirmed on Friday, which emphasizes having followed the recommendations of the energy regulator.
"Following the deliberation of the Energy Regulatory Commission (CRE), regulated electricity tariffs will increase by 1.54% on average on August 1, 2020", indicates the Ministry of Ecological Transition in a communicated.
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CRE had indeed proposed this increase on July 10. The regulator had mentioned an increase in regulated tariffs of 1.55%, with in detail an increase of 1.54% for residential "blue" tariffs in mainland France and 1.58% for professionals. The government had three months to ratify this proposal. The ministry recalled Friday that it had implemented a series of accompanying measures, such as energy checks for low-income households, while the question of purchasing power remains very sensitive. This subject had triggered the protest movement of the "yellow vests".
23.9 million residential sites at regulated prices in France
These regulated sales tariffs (TRV) set by the State are marketed only by the incumbent operator EDF as well as by local distribution companies in certain towns. At the end of 2019, France had 23.9 million residential sites at regulated prices, a large majority. Just over 9 million subscribed to market offers, the prices of which are freely set by suppliers.
CRE also voted on Friday for an increase from 2021 of the ceiling of the mechanism by which EDF must sell part of its cheap nuclear electricity to its competitors, "to avoid making consumers bear the additional cost associated with reaching the ceiling". This technical device has an impact on prices for the consumer. Contacted by AFP, the Ministry of Ecological Transition and that of the Economy did not immediately react to this last opinion.