The Head of State Emmanuel Macron is chairing a Defense Council dedicated to energy this Friday morning at the Elyse with the Prime Minister, Lisabeth Borne, the Minister of the Economy, Bruno Le Maire, and the Minister of Ecological transition, Agns Pannier-Runacher. On the menu of discussions: war in Ukraine, risk of shortage or energy cuts before winter or even the fate of the tariff shield when bills could soar in January.
Maintain state aid to individuals
A tariff shield and discount on a liter of fuel have made it possible to limit the impact of the energy crisis on the wallets of French people. According to an INSEE study published this week, while energy prices have risen by 28% for households over the past year, government measures have seen a jump of 54%.
In detail, the freeze on regulated gas tariffs prevented a 47% increase between October 2021 and June 2022. On the electricity side, the 4% cap on EDF’s regulated tariffs protected against an increase of 35.4% including tax. . For fuel, increases have been reduced by 12% thanks to government action.
Conversely, letting the market regain its rights and prices soar is very unlikely. The first immediate consequence would be an increase of 120 euros on average per month and per household for gas and electricity according to the estimates of Bruno Le Maire who recognizes in the columns of Echoes a rise in energy prices at the start of 2023, but (which) will be contained and reasonable in relation to this worst-case scenario. To this must be added a liter of fuel which will cost at least 30 centimes per liter more next year with the end of the rebate by the end of the year.
The French can be reassured, we will cushion the increases, said Elisabeth Borne.
Developing the energy check
For example, the energy supplier Engie has already planned to grant in November a discount of 100 euros on average per customer benefiting from the energy check. This aid worth 48,277 euros was distributed in March to 5.8 million precarious households. In December 2021, an exceptional check for 100 euros was sent to the same beneficiaries.
On August 27, Bruno La Maire assured that in 2023 for the most modest households, there will be energy checks which will help those who are most in difficulty to pay their energy bills.
The State could decide to accentuate the device but no framework has been given for the moment.
Educate on energy sobriety and reduce consumption
This has been the watchword of the government since this summer: sobriety and education! For the moment, the message has been addressed mainly to companies by Elisabeth Borne and Bruno La Maire, but the entire population is targeted. Everything we can do to lower our consumption will prevent us from getting into situations where we should have cuts, explained Elisabeth Borne.
This strategy should continue over the next few weeks. An example? Government spokesman Olivier Vran called in particular disconnect your wifi before leaving for the weekend.
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Another option put on the table by the Minister for Energy Transition, relaunching the Tempo offer which proposes to limit consumption during peaks against advantageous rates the rest of the time.
In the event of overconsumption, the network manager, RTE, has the possibility of rationing the energy of individuals. This is a last resort, says the government.
Increase French production capacities
France produces electricity, which it exports but must import its gas… necessary for the production of electricity. Nevertheless, increasing French autonomy is an option which is not neglected by the government, especially since 32 of EDF’s 56 French nuclear reactors are shut down…
Look for new gas suppliers
During his trip to Algeria, Emmanuel Macron and his team negotiated a 50% increase in gas imports from the country to France. Algeria currently represents between 8% and 9% of France’s gas supplies. A way for the President of the Republic to circumvent Russian sanctions.
Strengthening and reforming the European energy market
Faced with soaring prices, the energy ministers of the European Union will meet in Brussels on 9 September. The objective is to reduce dependence on Russian oil and gas supplies.
On the European electricity market, it is the cost price of the last source of electricity mobilized to meet demand, often gas-fired power stations, which determines the price imposed on all operators on the continent. EU countries would like to change this way of working.