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France’s Energy Regulator Proposes 0.8% Cut to Regulated Electricity Tariffs From February 1

The proposal now goes to consultation before a final ministerial decision.

Overview

  • The CRE outlined an average 0.8% decrease from February 1, worth about €9 a year for a household using 4.5 MWh.
  • Roughly 19.75 million households on the regulated tariff and about 4 million on similar offers would be affected, according to Emmanuelle Wargon.
  • The small change stems from offsetting factors including lower wholesale costs smoothed over two years, the end of ARENH, stable network charges, and tax adjustments with a lower CTA and a slightly higher excise.
  • Tariffs remain about 20% above 2021 levels, partly due to the nuclear transfer price rising to €60/MWh from €42 to support EDF investments and reactor life extensions.
  • The Conseil supérieur de l’énergie will be consulted next, after which Energy Minister Roland Lescure is expected to set the final tariff.