After the fuel, will the government dare to increase the price of electricity? – RT in French

The Energy Regulatory Commission (CRE) will soon propose to the executive a strong increase in the electricity tariff, of the order of 3 to 4%. Will the government follow its recommendations or spare itself a new sling?

The price of electricity could jump soon. The hazards of the calendar set February 2019 as the announcement by the government of a decision on the evolution of the price of electricity. Will the government follow the recommendations of the Energy Regulatory Commission (CRE), which according to the calculations of the magazine The OpinionWould imply a price increase of 3 to 4%?

We will do everything to make this increase as moderate as possible

A further attack on purchasing power would sparks after the strong protest initiated by the movement of yellow vests, whose representatives have already raised the issue with the Minister of ecological transition, François de Rugy. The latter wanted rebaduring, speaking on the sidelines of the conference of the French Union of Electricity (UFE). "Obviously we will do everything to make this increase as moderate as possible," he said. .

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After receiving the opinion of the CRE, the executive has three months to decide. If it decides to apply the commission's advice, the increase should be effective February 1, one month after the price of fuel that ignites part of France for almost three weeks.

Regulated electricity sales rates are calculated by summing the costs of energy, electricity and marketing. They are usually revalued in August, but a second opinion can intervene at the beginning of the year. The strong increase suggested by the CRE would be due to the obligation made to EDF, since 2011, to sell 25% of its nuclear production to its competitors at a regulated rate, under the Nome law. Today, the demand of other operators exceeds EDF's offer: they are therefore forced to buy their electricity at conventional, higher prices, which would have repercussions on the consumer's bill. The threshold of 25% could be raised, but the profits of EDF would decrease accordingly, to the chagrin of investors.

The executive can, however, refuse to follow the recommendations of the CRE to preserve the purchasing power of the French. When in 2014 Ségolène Royal, then Minister of the Environment, had chosen not to increase electricity rates, the trap had finally closed on consumers. The Council of State had annulled the decision of the Socialist Minister and this increase had been pbaded retroactively on the invoices.

The 0.7% rise in February 2018 was finally offset by a 0.5% drop in rates this summer. But in ten years, the price of electricity in France jumped, increasing by 35%.

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