What support is available to businesses to overcome the energy crisis?

What support is available to businesses to overcome the energy

1- Energy crisis: aid dedicated to VSEs/SMEs

In January 2023, the figures for professional electricity bills are dizzying. A cheese maker explains that his bill went from €4,500 to €30,000 per month in January. Ditto, for this baker from Seine et Marne, whose bill has made a big difference, going from €1,600 to €15,000. And these cases are legion! Unlike individuals, professionals no longer have access to the regulated electricity tariff since 1 January 2016. They are therefore suffering from this crisis in a particularly critical way.

This explosion in prices is causing a chain reaction: it becomes difficult to pay suppliers who are also increasing their prices, to pay commercial rents, to payslip to the employee and especially to pay him his salary!

To come in helping small businesses on the edge of the abyss, the State is setting up dedicated systems:

Aid to VSEs/SMEs for 2022 energy bills:

  1. The tariff shield (TPE only) : this system makes it possible to contain the rise in electricity prices to 4% in 2022 and to freeze the gas price at that of October 2021.
  2. Help desk for paying gas and electricity bills : the objective is to avoid production stoppages at the sites that consume the most gas and electricity, in particular those providing essential production. The device is extended up toat the end of 2023 for eligible VSEs and SMEs.

Aid to VSEs/SMEs for 2023 energy bills:

  1. The 2023 tariff shield (TPE only) : the tariff shield limits the increase in the price of gas to 15% from January 1, 2023 and that of electricity prices to 15% also but from February 1, 2023. This system is extended until December 31, 2023 for the electricity part and until June 30, 2023 for gas because the regulated gas tariffs will disappear on this date (contrary to European Union law).
  2. Electric shock absorber : entered into force on January 1, 2023, this system aims to cover part of the electricity bill when the subscribed price exceeds a certain price level. This measure is aimed at companies that do not benefit from the tariff shield, namely VSEs whose electricity meter exceeds the power of 36 kilovoltamperes (kVA) and SMEs.
  3. Help desk for paying gas and electricity bills : since January 1, 2023, payment assistance is intended for VSEs and SMEs eligible for the electricity shock absorber device who still meet the eligibility conditions for the aid window after taking into account the benefit of the electricity shock absorber. Electricity shock absorber and payment assistance counter are therefore two forms of aid that can be combined. VSEs and SMEs are eligible for the aid window for which: Energy expenditure represents 3% of turnover in 2021 after taking into account the shock absorber, Where whose electricity bill after reduction received via the shock absorber, has increased by more than 50% compared to 2021.
  4. . Spreading of energy bills : VSEs and SMEs experiencing cash flow difficulties can ask their energy supplier to spread the payment of their bill. The request must be made directly to your supplier. The system runs until the summer of 2023.
  5. Postponement of the payment of taxes and social contributions : in the same way as during the Covid crisis, VSEs and SMEs can request the postponement of the payment of their taxes and social security contributions to relieve their cash flow.

2- Energy crisis: aid dedicated to ETIs and large companies

The ETI (intermediate-sized companies) and the large companies benefit from help desk for paying gas and electricity bills. The other measures (electricity shock absorbers or tariff shield do not apply to them).

In 2023, to benefit from this aid, companies must demonstrate that:

  • the energy price over the period for which the company is applying for the aid a increased by 50% compared to the average price paid in 2021,
  • The energy costs over the period for which the company is applying for the aid represents more than 3% of 2021 turnover.

Increased assistance may be requested by companies which have higher energy expenditure subject to compliance with an additional condition, namely a gross operating surplus (EBITDA) negative or down 40% over the aid application period. In this case, the aid can go up to 50 million euros or even 150 million euros for sectors at risk of carbon leakage.

Are you lost in the aid to which you are entitled? The government is putting in place devices to support you. For example :

  • One phone number is made available to all companies in order to answer any questions concerning the Gas and Electricity assistance system: 0806 000 245
  • Of the departmental advisers on emerging from the crisis are set up within the departments jointly by the DGFip and the MAESC (support mission for companies emerging from the crisis) to specifically study your situation.

Conclusion

After the Covid crisis, it’s the energy crisis which is once again putting thousands of businesses in difficulty. Indeed, since the summer of 2021, electricity prices have risen sharply on the markets, with a peak at the end of the summer of 2022 following the war in Ukraine. New professional contracts have seen their price soar.

Faced with this, the government has firmly asked energy suppliers to help VSEs/SMEs by offering them payment facilities and allowing them to terminate particularly disadvantageous contracts.

Finally, aid has been put in place to enable companies to deal with their cash flow difficulties.

lep-general-02