HomeEconomyElectricity prices: the government rejects an increase and requests a new opinion

Electricity prices: the government rejects an increase and requests a new opinion

The Energy Regulatory Commission (CRE) has proposed increasing bills by 1% at the end of August to cover the necessary costs of the network.

The Energy Minister has asked the Energy Regulatory Commission to hold a new deliberation on the evolution of electricity prices, according to a decision published on Saturday in the Official Gazette.

The Commission (CRE) recommended increasing the TURPE (tariff for use of the public electricity grid) by 4.8%, one of the three components of the electricity bill along with taxes and even the price of electricity itself.

This “network tariff” is reviewed every year in August to take into account the increase in transmission costs for the distribution manager Enedis, which are paid by suppliers and passed on to consumers, both individuals and professionals.

The government had decided in mid-July not to implement a 1% increase in electricity bills, a way of avoiding a “yo-yo” of prices that would be incomprehensible to consumers, Bercy then justified, thus avoiding a new controversy over energy bills, in the midst of a political crisis.

1% increase

If this review had been applied, the regulated electricity bills of 22 million households and businesses would have increased by around 1%.

“Their deliberation of 26 June 2024 does not take sufficient account of this energy policy orientation concerning control, stability and a good understanding of the price of electricity for the consumer,” the resigned minister continued.

Calls on the ECR to establish “a new draft decision on the evolution of prices in public electricity distribution networks, which takes this approach more into account”.

Author: VG with AFP
Source: BFM TV

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