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Debate Over Future of Regulated Electricity Tariffs in France

Authorities are divided on whether to maintain or abolish regulated electricity tariffs affecting millions of consumers.

  • The French Competition Authority recommends the government prepare to phase out regulated electricity tariffs, citing their impact on market competition.
  • Currently, 59% of households and 35% of small businesses use these tariffs, which are seen as a stable option against market price fluctuations.
  • The Commission de Régulation de l'Énergie (CRE) argues for maintaining the tariffs, emphasizing their role in protecting consumers from volatile energy prices.
  • Despite being higher than market rates, regulated tariffs are favored by many due to their price stability during past energy crises.
  • The government must report to the European Commission by the end of 2025, considering the scheduled end of the regulated nuclear electricity access scheme.
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