France: Agnès Pannier-Runacher warns of the risks of excessive increases in electricity taxes

France: Agnès Pannier-Runacher warns of the risks of excessive increases in electricity taxes

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

The Minister for Ecological Transition and Energy, Agnès Pannier-Runacher, warned against the consequences of an excessive increase in the electricity tax. Speaking this Sunday on France 3, she emphasized that such an increase could disproportionately impact low-income households and businesses, particularly those who do not benefit from regulated tariffs.

The recent drop in energy prices on the international market would allow this tax to return to its pre-crisis level, namely 32 euros per megawatt-hour (MWh) compared to 22 euros currently. “If the tax returns to its pre-crisis level, as prices have returned to a normal level, the price that the French pay will decrease. However, we must not go beyond that,” Agnès Pannier-Runacher specified.

Risk for households and businesses

Any additional increase could, according to the Minister, heavily weigh on the bills of households living in poorly insulated homes, referred to as “thermal sieves,” which would primarily affect low and middle-income classes. In parallel, businesses could also face increased pressure on their operating costs, affecting various sectors such as bakers, already sensitive to changes in energy charges.

Expected reduction for consumers on regulated tariffs

Last September, the Commission de régulation de l’énergie (CRE) announced that the end of the tariff shield next February should result in at least a 10% reduction in electricity bills for households on regulated tariffs. However, the Minister warned that if the electricity tax were adjusted beyond its pre-crisis level, the expected savings for consumers could be compromised.

Ongoing arbitration in Parliament

Arbitrations are currently in discussion, and the final decision will be made by Parliament during the examination of the finance bill next week. “We must be very vigilant because low-income and middle-class French people will face a double penalty. They are often the ones living in thermal sieves,” emphasized Agnès Pannier-Runacher.

In conclusion, the Minister insisted on the necessity of a balanced approach to avoid burdening households and businesses while maintaining tariff stability.

The gradual exit from CfD contracts is turning stable assets into infrastructures exposed to higher volatility, challenging expected returns and traditional financing models for the renewable sector.
The Canadian government introduces major legislative changes to the Energy Efficiency Act to support its national strategy and adapt to the realities of digital commerce.
Quebec becomes the only Canadian province where a carbon price still applies directly to fuels, as Ottawa eliminated the public-facing carbon tax in April 2025.
New Delhi launches a 72.8 bn INR incentive plan to build a 6,000-tonne domestic capacity for permanent magnets, amid rising Chinese export restrictions on critical components.
The rise of CfDs, PPAs and capacity mechanisms signals a structural shift: markets alone no longer cover 10–30-year financing needs, while spot prices have surged 400% in Europe since 2019.
Germany plans to finalise the €5.8bn ($6.34bn) purchase of a 25.1% stake in TenneT Germany to strengthen its control over critical national power grid infrastructure.
The Ghanaian government is implementing a reform of its energy system focused on increasing the use of local natural gas, aiming to reduce electricity production costs and limit the sector's financial imbalance.
On the 50th anniversary of its independence, Suriname announced a national roadmap including major public investment to develop its offshore oil reserves.
China's power generation capacity recorded strong growth in October, driven by continued expansion of solar and wind, according to official data from the National Energy Administration.
The 2026–2031 offshore programme proposes opening over one billion acres to oil exploration, triggering a regulatory clash between Washington, coastal states and legal advocacy groups.
The government of Mozambique is consolidating its gas transport and regasification assets under a public vehicle, anchoring the strategic Beira–Rompco corridor to support Rovuma projects and respond to South Africa’s gas dependency.
The British system operator NESO initiates a consultation process to define the methodology of eleven upcoming regional strategic plans aimed at coordinating energy needs across England, Scotland and Wales.
The Belém summit ends with a technical compromise prioritising forest investment and adaptation, while avoiding fossil fuel discussions and opening a climate–trade dialogue likely to trigger new regulatory disputes.
The Asian Development Bank and the Kyrgyz Republic have signed a financing agreement to strengthen energy infrastructure, climate resilience and regional connectivity, with over $700mn committed through 2027.
A study from the Oxford Institute for Energy Studies finds that energy-from-waste with carbon capture delivers nearly twice the climate benefit of converting waste into aviation fuel.
Signed for 25 years, the new concession contract between Sipperec, EDF and Enedis covers 87 municipalities in the Île-de-France region and commits the parties to managing and developing the public electricity distribution network until 2051.
The French Energy Regulatory Commission publishes its 2023–2024 report, detailing the crisis impact on gas and electricity markets and the measures deployed to support competition and rebuild consumer trust.
Gathered in Belém, states from Africa, Asia, Latin America and Europe support the adoption of a timeline for the gradual withdrawal from fossil fuels, despite expected resistance from several producer countries.
The E3 and the United States submit a resolution to the IAEA to formalise Iran's non-cooperation following the June strikes, consolidating the legal basis for tougher energy and financial sanctions.
The United Kingdom launches a taskforce led by the Energy Minister to strengthen the security of the national power grid after a full shutdown at Heathrow Airport caused by a substation fire.

All the latest energy news, all the time

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.