The "tariff shield" that limits the rise in electricity bills for businesses and households could be stopped in mid-2024, given the evolution of market prices, Energy Transition Minister Agnès Pannier-Runacher said on Friday.
"Next year, prices (of electricity) on the financial markets are falling and therefore, we will maintain the energy shield until the price of electricity becomes reasonable again and that is why we will be able to remove it probably in the middle of the year," the minister said on CNews-Europe 1 radio.
"This year, we are still covering 37% of the French people's bills," said Agnès Pannier-Runacher, explaining that this is "the difference between the prices on the financial markets for electricity and the price that the French pay on their bills".
"I am the minister who reduced greenhouse gas emissions by 2.7% last year and 4.3% since the beginning of the year. No minister, government, president has done so much in recent years," says @AgnesRunacher #LaGrandeITW #Europe1 pic.twitter.com/sNJ6eqWX1m
— Europe 1 (@Europe1) December 8, 2023
Increase in regulated tariffs
The minister nevertheless recalled the fact that regulated electricity tariffs would increase in February, by a maximum of 10%, according to the government's commitment. The government had already announced the gradual end of the energy shield, launched in autumn 2021 by the government to limit increases in electricity and gas tariffs. It had already been abolished at the end of July for gas, in view of market developments.
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Most of the €16 billion in savings planned in France's 2024 budget must come from the end of this tariff shield.