France: Macron justifies electricity rate hike

Electricity rate hikes: President Macron's arguments in the face of criticism, and the measures planned to support consumers.

Share:

tarifs d'électricité

Gain full professional access to energynews.pro from 4.90€/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90€/month*

No commitment – cancel anytime, activation in 2 minutes.

*Special launch offer: 1st month at the indicated price, then 14.90 €/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99€/year*

To access all of energynews.pro without any limits

*Introductory annual price for year one, automatically renewed at 149.00 €/year from the second year.

Emmanuel Macron said on Monday that the new 10% increase in regulated electricity tariffs on August 1 was a “proportionate decision”, pointing out that the “taxpayer pays what the consumer does not”.

A summer hike: the president’s take on electricity rate hikes

“This summer increase” is “important for many of our compatriots who are already in difficulty, but I think it’s a proportionate decision”, pleaded the President of the Republic in a televised interview broadcast on TF1 and France 2 from New Caledonia.

“The increase in energy prices is an “external tax due to a number of geopolitical phenomena and market disturbances that are now stabilizing”, said the French President.

“The nation has invested some 40 billion euros to absorb this shock, but it is the taxpayer (…) who is paying for what the consumer is not,” he insisted. According to him, “when we look at our European neighbors, we will have increased electricity much less in our country than in most of our neighbors”.

Measures in the pipeline: the government tackles rising electricity tariffs

President Sarkozy pledged to “continue to accompany the evolution of energy prices over the coming months” by producing “more electricity by restarting our nuclear power plants” and finalizing “a reform at European level that will reduce our electricity costs, because France has been penalized by the calculation rules”.

Under pressure to reduce the cost of the tariff shield, the government announced a further 10% increase in regulated electricity tariffs on July 18, triggering a volley of criticism from the opposition and consumer associations.

Signalling the gradual end of the tariff shield introduced two winters ago to reduce French bills, this increase will affect households, small businesses and craftsmen “connected to a meter with a power rating of up to 36 kilovoltamperes”.

The previous increase (+15%) dates back to February, after 4% in February 2022. Since 2021, the regulated tariff on which some 23 million customers (out of 34 million) depend, will therefore have risen by 31%.

Re-elected president Irfaan Ali announces stricter production-sharing agreements to increase national economic returns.
US utilities anticipate a rapid increase in high-intensity loads, targeting 147 GW of new capacity by 2035, with a strategic shift toward deregulated markets.
France opens a national consultation on RTE’s plan to invest €100 billion by 2040 to modernise the high-voltage electricity transmission grid.
Governor Gavin Newsom orders state agencies to fast-track clean energy projects to capture Inflation Reduction Act credits before deadlines expire.
Germany’s energy transition could cost up to €5.4tn ($6.3tn) by 2049, according to the main industry organisation, raising concerns over national competitiveness.
Facing blackouts imposed by the authorities, small businesses in Iran record mounting losses amid drought, fuel shortages and pressure on the national power grid.
Russian group T Plus plans to stabilise its electricity output at 57.6 TWh in 2025, despite a decline recorded in the first half of the year, according to Chief Executive Officer Pavel Snikkars.
In France, the Commission de régulation de l’énergie issues a clarification on ten statements shared over the summer, correcting several figures regarding tariffs, production and investments in the electricity sector.
A group of 85 researchers challenges the scientific validity of the climate report released by the US Department of Energy, citing partial methods and the absence of independent peer review.
Five energy infrastructure projects have been added to the list of cross-border renewable projects, making them eligible for financial support under the CEF Energy programme.
The Tanzanian government launches a national consultation to accelerate the rollout of compressed natural gas, mobilising public and private financing to secure energy supply and lower fuel costs.
The Kuwaiti government has invited three international consortia to submit bids for the first phase of the Al Khairan project, combining power generation and desalination.
Nigeria’s state-owned oil company abandons plans to sell the Port Harcourt refinery and confirms a maintenance programme despite high operating costs.
The publication of the Multiannual Energy Programme decree, awaited for two years, is compromised by internal political tensions, jeopardising strategic investments in nuclear and renewables.
The US Energy Information Administration reschedules or cancels several publications, affecting the availability of critical data for oil, gas and renewables markets.
Brazilian authorities have launched a large-scale operation targeting a money laundering system linked to the fuel sector, involving investment funds, fintechs, and more than 1,000 service stations across the country.
A national study by the Davies Group reveals widespread American support for the simultaneous development of both renewable and fossil energy sources, with strong approval for natural gas and solar energy.
The South Korean government compels ten petrochemical groups to cut up to 3.7 million tons of naphtha cracking per year, tying financial and tax support to swift and documented restructuring measures.
The U.S. Department of Energy has extended until November the emergency measures aimed at ensuring the stability of Puerto Rico’s power grid against overload risks and recurring outages.
Under threat of increased U.S. tariffs, New Delhi is accelerating its energy independence strategy to reduce reliance on imports, particularly Russian oil.

Log in to read this article

You'll also have access to a selection of our best content.