ELECTRICITY PRICE. Regulated electricity prices are rising sharply, due to the economic recovery. The government plans to set up a tariff shield.
[Mis à jour le 09 décembre 2021 à 14h25] It is one of the major items of household expenditure: electricity. To heat, cook, have hot water … It is essential. Since August 1, 2021, electricity prices have been revised upwards. This increase is due to changes in the TURPE (Tariff for the use of the public electricity network), a tax aimed at ensuring the maintenance of the network and its modernization. The average increase is 0.91% for MV / LV consumers. It is 1.39% per year for the TURPE 6 period (2021-2025). HTB consumers, on the other hand, show an increase of 1.09% and 1.57% per year. And the bill will get even higher. Indeed, the economic recovery is causing a surge in world prices. A 10% increase was expected at the start of the year.
In order to preserve the purchasing power of households, the government announced the establishment of a “tariff shield” until spring 2022, in April. In other words, the increase in electricity prices will be limited during this period, via a reduction in taxes. In detail, the increase regulated electricity tariffs, which should reach nearly 12% at the start of 2022 – i.e. an annual additional cost of 150 euros – will finally be limited to 4% next year thanks to a tax reduction.
An amendment integrated into the 2022 finance bill should be tabled. This text grants the possibility to unilaterally block the increase in regulated prices, AFP learned, confirming information from Figaro. In 2023, the State plans to catch up. To do this, it will initiate a gradual increase in tariffs, in order to cover the losses borne by EDF. So that this does not weigh on households, the plan provides for obliging EDF to sell more nuclear electricity at a limited rate to alternative suppliers. They would no longer have to supply themselves on the markets at prohibitive prices.
This announcement came as the government announced the payment of additional aid of 100 euros for the 5.8 million households benefiting from the energy check. As a reminder, there is nothing to do: the payment is made automatically in December. To find out more, see our dedicated article:
In France, consumers have the choice between regulated electricity tariffs marketed by EDF and several market offers marketed by other companies. Your electricity consumption has jumped in recent months? It must be said that with successive confinements, sometimes cooler temperatures and teleworking, there is something to increase the final addition. In this context, are you looking for alternatives to pay less? Linternaute.com will direct you to its dedicated file:
If we trust the latest Eurostat data, the price of kWh in France reached 0.1893 euros in 2020, which is much less than the average for the 27 countries of the European Union (0.2134 € / kWh). The price is much higher in countries like Germany (0.3043 € / kWh), Denmark (0.2833 € / kWh) and Belgium (0.2792 € / kWh).
* OlaWatt is a site of the Le Figaro-CCM Benchmark group, like Linternaute.com
Besides taxes, the price of electricity that you will pay depends on many factors. Linternaute.com summarizes the criteria for you:
- The subscription you take out, whether it is EDF regulated tariffs or a market offer : you generally have the choice between two contracts, a base rate and a peak-off-peak hours offer. In the first case, the kilowatt-hour (kWh) price of electricity remains the same. In the second case, it changes as a function of peaks in consumption. Clearly, it is cheaper at night, between 10 p.m. and 6 a.m.
- Your consumption: lighting, household appliances, computer, television, internet facilities … All of this equipment consumes energy, even if it is on standby! You are looking to reduce your consumption. Read our article: Electricity savings: our advice
- The power of your electricity meter : 3,6,9 or 12 kilovoltampere (KVa).
- The offer: prices are obviously not the same from one supplier to another.
- The frequency of invoicing : it goes without saying that it can have an impact on final invoicing. If you use your equipment more in winter, for example, this will inevitably affect your bill.
Want to know more about what makes up the price of electricity? Consult our dedicated file:
At EDF, you have the choice between regulated tariffs and the market offers. In the first case, as explained previously, the prices are set by the public authorities. EDF offers three distinct offers: a basic offer (where the price per kWh remains the same regardless of the time and frequency), a peak-off-peak offer (where the price per kWh is more advantageous between 10 p.m. and 6 hours) and a so-called “Tempo” offer (where the price per kWh varies according to the hours of the day and the days of the week).
The latter corresponds to households with “an electricity subscription of 9 kVA minimum [et qui disposent] an alternative heating method, such as wood heating, for example, ”explains the EDF website. To find out about EDF’s market offers, go to the website. Want to know more about how electricity prices are calculated? We answer your questions. Are you looking to change supplier in the current context? Consult our dedicated file before getting started:
EDF’s regulated tariffs, or “blue tariffs”, have already increased by 1.6% on February 1, resulting in an additional 15 euros per year, estimated the Energy Regulatory Commission (CRE). You don’t depend on regulated tariffs? Unless you have gone for a fixed price offer, you should also be affected by this increase in electricity prices.
Expect your bill to increase in the coming months. In addition to a revaluation of the blue tariffs, there is a simplification of taxes, recorded within the framework of the 2021 Budget. What to choose, it aims to modernize one of the four taxes that make up the price of electricity: the local tax on final electricity consumption (TCFE). This is imposed by local authorities on energy suppliers who, in turn, pass it on to consumers’ bills. Until now, this tax was set by the communities, which could impose a reduced or zero rate. Under the finance bill, this competence is transferred to the tax administration (DGFIP).
As a result, the rates will be revised upwards, “the maximum rate being planned to apply in all communities in 2023”, explains the association on its site. De facto, taxation will increase for many municipalities (7,608 by 2023, according to the impact study of the 2021 budget). The additional cost is estimated between 80 cents and 55 euros per household and per year.
Last component of this millefeuille of increases: the tariff for the use of public electricity networks (TURPE), which is used to maintain the electricity network. “CRE retains average tariff increases of 1.57% per year for RTE and 1.39% per year for Enedis, ie an increase of around € 15 in the annual bill of a private individual by 2024” , explains the Commission in a Information letter. So you are not ready to see your electricity bill go down immediately. Do you have questions about the prices charged by EDF? How are the prices calculated? Linternaute.com explains everything in its article dedicated to electricity prices.
In the context of the health crisis, are you looking to save money? Rent, subscriptions … Linternaute.com has studied the various expense items for you and the best way to optimize them. Consult our file without further delay:
Are you looking to leave EDF’s regulated tariffs? You are not the only one: each month, 100,000 customers say goodbye to them, according to the Energy Regulatory Commission. By changing supplier, large consumers, who consume 8,000 kWh, can save “a hundred euros” per year, according to 60 million consumers in its October 2019 edition. Total Direct Energie, Eni, Happ-e de Engie, EDF … Whether you are looking for a market offer or regulated tariffs, you can find all the offers online.
It can sometimes be very difficult to differentiate between the differences between the existing offers on the market, as there are so many parameters to take into account (read above).
You can also go to the website of the national energy mediator: energie-info.fr. In particular, you will find a comparator, here, in which you will have to specify your current tariff option, the power subscribed and your electricity consumption. UFC-Que Choisir also offers a comparator, here. You will then obtain an informative list of the most advantageous offers according to your profile. When you compare offers, always keep in mind the power you are purchasing, the type of pricing you want and your annual consumption (expressed in kWh).
Are you looking for another comparator? Olawatt by BeMove* also offers a comparison tool. You must enter your address, as well as your annual consumption, then your contact details to receive a summary of your request.
Are you looking to undertake energy renovation work in your home? Do you know Ma Prime Rénov ‘? This device was put in place last year to replace the tax credit for energy transition (CITED). Since January 1, this famous bonus concerns all households, regardless of their income level. The amount of financial assistance paid at the end of the work depends both on the household’s resources, on the location of the accommodation and on the nature of the work. To find out more, see our dedicated article: