Power surge: “Stabbing for the French”

It was only a brief respite. While the domestic end-use tax on electricity was virtually suspended for two years, as part of a tariff shield of 0.001 euro per kilowatt hour (kWh), here it is set to make its return on February 1, 2024. what is it Bersi has planned as part of the 2024 budget, which was adopted on 21 December after another 49.3 from the government.

In detail, Section 92 of the Finance Act will allow the government to increase the level of excise duty on electricity to a limit of 10% per kilowatt hour increase in gross price. With the result of a significant increase in consumer bills…

The beginning of the month is difficult

On Monday, while traveling, Economy Minister Bruno Le Maire indicated that the tax amount would ultimately be retained in the coming days, after discussions with Prime Minister Gabriel Atal. The Left Opposition did not wait for this announcement to warn about its specific effects on the population. “In a context where energy poverty is exploding, this is a stab for the French”, sorry Sebastien Jumel, communist deputy for Seine-Maritime. According to data from the Energy Poverty Observatory (ONPE), 12 million people spend more than 8% of their budget on energy.

Still according to this survey, 26% of the population said they faced difficulties paying their bills in 2023, compared to 14% in 2020… This new increase also negates the enormous increase that the French had to endure despite the tariff shield: 15% last February, 10% in August… In two years, electricity has increased by almost 40%.Parliamentarian recalls. Emmanuel Macron says he is worried about working in France, but she has to bear it all. With the beginning of the month looking more and more like the end of the month”.

During his press conference this Tuesday, January 16, the Head of State chose to see this coming increase as compensation. “standard”Make sure that “Significantly less than what is paid in Germany, Spain and Italy, whatever the government announces in the coming days will remain.” Adding: “Where it should have increased by over 100% last year, it should increase by 25%”.

However, this is not the opinion of industry observers. Following Emmanuel Macron’s announcement, UFC-Que Choisir condemned, “New electricity price hike in France with no link to real cost of electricity generation”.. The request, therefore, is fixed or increased “minimum” to limit it “so that it does not exceed 2.5%, i.e. expected inflation in 2024”.

A view shared by the Energy Regulatory Commission (CRE) which presented this Wednesday, at the request of the Ministry of Economy, the calculation of the evolution of regulated electricity sales prices. The result? CRE thus assumes practically unchanged levels “Simplification of wholesale market prices”Which, according to him, will compensate for the removal of the price freeze resulting from the price shield for electricity.

Against the breakup of EDF

“Rising electricity prices remains a conflicting message when it comes to calls for electrification.

For his part observes Nicolas Goldberg, energy manager at the Terra Nova think tank. There was no urgency to reinstate these taxes and raise prices again where they could stabilize or even fall, thus sending a signal that the tariff shield should be kept..

“Above all we must not feed the lie that this increase is linked to restarting the nuclear and power sector. Conversely, the cost of producing electricity decreases with production. The explanation is elsewhere, ” Sébastien Jumel also wants to clarify. With the minister responsible for energy disappearing – at least temporarily – after the reshuffle, the portfolio was redirected to Bercy. “This has a major impact: energy policy is now considered only on an accounting level and not because it represents access to the common good necessary for our real productivity”adds the communist.

What to do? “The state should refrain from reinstating this taxEstimates from Eric Cockerell, president of the National Assembly’s finance committee and rebel deputy for Seine-Saint-Denis the world. We want to lower taxes for the middle class, but we increase taxes on electricity, it is contradictory. The increase should not be at least uniform”.

Sebastian Jumel goes on: “This government project legitimizes the bill launched by MP (PS) Philippe Brun against the breakup of EDF, and also supported by the Communist Group, which advocates a return to tariff regulation. It’s the only way! ” The text was sent back to the Senate Finance Committee after its adoption by the National Assembly on second reading last May. “Question not resolved”MP promises.