The Energy Regulation Commission (CRE) announced on Wednesday that it was proposing a 3.89% tax-inclusive increase in the regulated electricity sales tariffs in France from 1 August.
In accordance with the Energy Code, the Energy Regulation Commission (CRE) is proposing an increase in regulated electricity sales tariffs (TRVE) of 3.89% including tax compared to the tariffs currently in force.
To justify this decision, the CRE puts forward three points including a 2.26% increase on 1 August in the Tariffs for the use of the public electricity distribution networks (TURPE) or even the recovery over six months of the costs not covered by TRVE for the month of January 2022.
The government can refuse the evolution
If she were to be accepted, the increase would apply from August 1, 2022. However, the state could well add its two cents. Indeed, the CRE recalls that the government retains the possibility of opposing the reasoned TRVE proposals of the CRE as soon as these exceed the tariffs applicable on 31 December 2021 by more than 4%.
However, a 4% increase including tax had already taken place on February 1, 2022. From then on, the government can set new tariffs at a lower level or even refuse the change proposed by CRE.
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The latter estimates, however, that even adding the 4% increase including tax made on February 1, 2022, the proposed increase of 3.89% including tax remains moderate compared to CRE’s proposal of +44% excluding tax, i.e. +35% including tax, made last January. This demonstrates the effectiveness of the mechanisms put in place by the government for the year 2022 for the benefit of consumers.