In France, the State ratifies the extension of the “gas and electricity” aid to companies

The government ratified on Saturday the extension until the end of December of the support fund for companies that consume a lot of gas and electricity in order to respond to the surge in energy prices, according to a decree published in the Official Journal.

The purpose of this text is to “extend until December 2022 the aid for energy-intensive companies that are particularly affected by the economic and financial consequences of the war in Ukraine due to the increased costs of supplying natural gas or electricity”.

As stated at the beginning of September, when the scheme, which was initially due to end at the end of August, was extended, the government has also simplified it to enable more companies to use it.

In particular, the State has removed the 30% threshold for a drop in gross operating surplus over a quarter, a condition imposed until now to release the aid, for aid capped at two million euros. A simple decrease in this gross operating surplus, calculated on a monthly basis compared to
2021, is now sufficient.

“When a device does not work, it must be changed,” said Bruno Le Maire, who had himself judged it “too complicated” in early September.

The scheme applies to companies whose gas and electricity costs exceed 3% of turnover in 2021. It is endowed with 3 billion euros of credits but was “little used”, hence the simplification, the ministry had stressed.

For the most important aids, capped at 25 and 50 million euros respectively, a relaxation of the criteria is still under discussion with the European Commission, said Bercy, interviewed by AFP.