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    France to block gas and electricity price rises until the spring

    Newsletter: Europe Express

    The French government is trying to ease the pressure of the global gas crisis and stop rising gas and electricity prices. Soaring energy costs All over Europe.

    In a speech aired Thursday night, Prime Minister Jean Castex announced that after a 12.6% rise in gas prices already scheduled for Friday, the government would prevent further price increases until April. ..

    Castex also announced that the government would limit the planned electricity rate increase in February to 4% by lowering taxes paid on electricity.

    “We will install what we call a” price shield “for gas and electricity,” Castex told the TF1 television channel. “We will protect ourselves from these price increases.”

    In the April presidential election, the government is keenly aware of the risk that consumers will face highs.Avid Avoid repetition 2018 Gilet Jones The protests were fueled by soaring energy prices and a government proposal to raise fuel taxes to combat climate change.

    France’s energy policy has become an important area of ​​policy debate among presidential candidates as electricity prices continue to rise until the spring of 2022.

    The French government has already announced an exceptional energy subsidy of € 100 million for the poorest 5.8 million households in the country, which accounts for € 580 million of government spending. Castex said the government would consider increasing this payment if measures to freeze energy prices were not sufficient to reduce pressure on households.

    French Environment Minister Barbara Pompiri announced on Thursday that electricity prices are set to rise 12 percent in 70 percent of households early next year. This is currently limited to 4% and higher costs are offset by lower taxes paid on electricity.

    Meanwhile, 3 million households that use gas and don’t pay a fixed price will be subject to a 15% increase in billing from November 1, in addition to a 12.6% increase this Friday, Pompiri said. Stated.

    According to Castex, this is currently frozen and no further price increases will occur after October 1 until the expected global price decline in March or April.

    French consumers are partially isolated from rising electricity prices elsewhere in Europe and Asia, as more than 70% of the country’s electricity comes from nuclear power plants. Nevertheless, there was frustration between the public and businesses that the country’s nuclear-rich energy mix did not protect them more completely from global price increases.

    This is because some of France’s electricity is indexed into the wider European market and is priced by the marginal cost of the last energy unit (usually gas) required.

    Denis Florin, a partner at energy company Lavoisier Conseil, said: -A focused management consultant. “He says,’Show me the money.’”

    This frustration has led to a wider call for France to be given greater energy “sovereignty.”

    Last week, Minister of Economy and Finance Bruno Le Mer described Europe’s energy pricing system as “ridiculous” and “obsolete.”

    On Congressional television, he said: “In France, we get electricity from nuclear and hydropower plants .. Therefore, we have very low cost and carbon-free energy, but it is a market .. .. Means that the electricity price matches the gas price. “

    “French people are paying the bill in ways they don’t understand — and it’s completely inefficient from an economic point of view,” he added.

    France to block gas and electricity price rises until the spring Source link France to block gas and electricity price rises until the spring

    The post France to block gas and electricity price rises until the spring appeared first on California News Times.

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