Electricity Prices 2024
9th February 2024
The regulated tariffs for electricity have increased substantially this month.
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Electricity Prices 2024
9th February 2024
The regulated tariffs for electricity have increased substantially this month.
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Prices have risen by 8.6% to 9.8%, depending on the type of contract, whether standard or off-peak.
In announcing the increase, Bruno Le Maire, the Minister of the Economy and Energy stated: "The electricity bill on peak/off-peak tariffs will increase by 9.8% and on the basic tariff by 8.6%. That is to say, for 97% of French households, the increase will be less than 10%."
The increase is higher for those on the 'Tempo' tariff, averaging 14%, whilst the increase will be 10.1% for those on the 'EJP' tariff.
"For a household with two children in a detached house with electric central heating, this corresponds to an increase of €18 on average per month," explained Bruno Le Maire.
As a reminder, regulated tariffs increased by 4% in February 2022, 15% in February 2023 and 10% in August 2023. They would have increased by around 100% in Feb 2023 and by 75% in August 2023 were it not for a price shield (bouclier tarifaire) the government put in place, by reducing the taxes on electricity.
The 1 February 2024 increase was the expected consequence of the progressive ending of the price shield, entirely due to the increase in the Taxe intérieure de consommation finale sur l’électricité (TICFE). This tax, which represents a significant part of the electricity price paid by the consumer, had been lowered at the end of 2021 as part of the price shield.
The TICFE will not rise to its normal level until 2025 but prices may go up again in August 2024 in the programmed bi-annual review.
According to the energy regulator, the Commission de régulation de l'énergie (CRE), without the withdrawal of the price shield, electricity prices would have remained stable in February.
Around 21.3 million residential customers (out of 34.2 million) benefit from the regulated electricity tariffs. The remainder have opted for market-based tariffs with EDF or a private supplier.
The average annual bill for those on the basic tariff is €836, whilst for those on off-peak (normally with electric central heating) it is €1,824.
You can read more about electricity tariffs in our full Guide to Electricity Services in France.