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.