HomeEconomy"Boiler war": Engie for "hybrid" solutions and VAT cuts on biogas

“Boiler war”: Engie for “hybrid” solutions and VAT cuts on biogas

The main supplier of natural gas in France “promotes hybrid solutions” that “combine gas and electricity” to replace end-of-life gas boilers in order to reduce CO2 emissions from the building.

Engie wants the development of hybrid boilers -electricity and gas- and a reduction in VAT on the consumption of biogas, in response to the consultation launched at the beginning of June by the government to find solutions to reduce CO2 emissions from buildings.

Engie, the main supplier of natural gas in France, “promotes hybrid solutions” that “combine gas and electricity” to replace end-of-life gas boilers, Cécile Prévieu, deputy director general for infrastructure activities at the gas group, told reporters. A response to the “boiler war” opposed to the Government by energy companies, boiler manufacturers and consumer associations, whose consultation will end on Friday.

The installation of gas boilers in new homes is already prohibited since 2022 by the new regulations for new construction (RE2020). For the existing fleet, the construction craftsmen considered the goal mentioned at the beginning of the government consultation to replace all gas boilers in France with electric heat pumps (almost 12 million) by 2026 unsustainable, and too expensive for the consumer association UFC Que Choisir.

40% reduction in energy consumption and 70% reduction in CO2 emissions from the sector

The solution of coupling a high-performance gas boiler with an electric heat pump with intelligent regulation, promoted in neighboring gas-producing countries such as Germany, Italy and the Netherlands, according to Engie, would reduce energy consumption by 40% and CO2 emissions by 70% in the sector, says the energy company.

Engie is betting in particular on a “strong development of biomethane” in France. With a current 2%, the volume of green gas consumed in France could increase to 20% in 2030, according to her, through four different sectors: methanation, pyrogasification, e-methane and hydrothermal gasification.

To lower costs for the final consumer, Engie asks the State to make economic efforts: first, “extend the heating reinforcement bonus” to hybrid boiler installations, maintain a reduced VAT rate for the installation of very high-efficiency boilers in homes that are not compatible with hybrid boilers, and offer a reduced VAT rate on the supply of biomethane when it represents more than 50% of the gas used.

Author: TT with AFP
Source: BFM TV

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