Europe 1 with AFP 5:41 p.m., July 09, 2022

The tariff shield on gas and electricity, which regulates energy prices, and which has been extended until the end of the year, could give way to more targeted aid for low-income households. here next year, according to Prime Minister Elisabeth Borne. 

While the tariff shield on gas and electricity has been extended until the end of the year, the government is already thinking about the future.

The current system could be replaced by more targeted aid for low-income French people next year, Prime Minister Elisabeth Borne said on Saturday in Aix-en-Provence, in the Bouches-du-Rhône.

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"We are not going to expose the most modest French people to reckless increases in the price of energy", assured the head of government to the press, meeting on the sidelines of the Aix Economic Meetings.

"If there were no shield" on the price of gas or a cap on electricity prices, "electricity would be a third more expensive, and gas 45 to 50%" more expensive, has she pointed.

"Moving from general mechanisms to more targeted mechanisms"

However, given the cost of the tariff shield for the State, "we must move from general mechanisms to more targeted mechanisms", judged Elisabeth Borne.

"The work is in progress," she added.

On Thursday, the government has already announced that aid targeted at people who drive to work will take over in October from the general discount of 18 cents on the price of a liter of fuel, which will gradually decrease and then end. definitely in December.

Asked about the advisability of setting up a tax on any "surplus profits" that energy companies would realize thanks to the sharp rise in energy prices, Elisabeth Borne was more evasive.

"In principle, obviously, if there are people who derive superprofits from the crisis, we would like that to benefit everyone and lighten the burdens that the crisis can generate," she said.

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"Many of our neighbors have put in place mechanisms to tax these excess profits", but "we are not in the same situation" in France, she nevertheless nuanced.

On the one hand, "EDF has production difficulties today on its nuclear fleet and we import massively" electricity from abroad, underlined the Prime Minister, thereby ruling out the existence of "surplus profits" for the energy company.

On the other hand, "we have oil companies which have distribution activities in France (but) which do not generate super-profits", she noted.