the essential
The evolution of energy prices in France has seen many fluctuations in recent years. Will the political context have an influence on these prices?
The priority of the French is purchasing power. And one of the challenges of these early legislative elections is the rise in energy prices which weighs heavily on the population’s budget…
Fuels
The French see summer coming with spending on gasoline that can make them dizzy… If for the moment the increases are not obvious, they could be seen in the weeks to come. Indeed, while it had been falling for weeks, the price of a liter of diesel has already been increasing since last week.
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Unleaded 95 has not changed, but remains 0.7 cents more expensive since January, reaching 1.80 euros per liter, according to the weekly statement from the Ministry of Ecological Transition. The increase in demand from the French during major vacation departures should increase prices. But this increase can also be attributed to distributors trying to rebuild their margins.
Electricity
The price of a kWh of electricity saw an initial increase of 10% on February 1, 2024. In June, its price rose to 0.2516 euros in the base option. With these prices, the French pay on average 174 euros each month for their electricity. On the wholesale market, the price is 45.74 euros per MWh.
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Other increases are planned: on August 1, the increase in the network tariff, calculated each year, should result in an estimated increase of between 1 and 2%. Then, on February 1, 2025, the excise duty on electricity will be increased to its pre-tariff shield level, from 21 to 32.44 euros per MWh. Bruno Le Maire promised on Tuesday, June 11, that the electricity bill will drop by 10 to 15% for the French in February 2025. A measure that he considers achievable thanks to the revival of nuclear power in the territory.
Gaz
After an increase in December 2023, gas prices had fallen in February, March and April, driven by the drop in prices on the wholesale market. But a new increase is expected on July 1. In particular with the new distribution network tariff which will come into force and will contribute to 55% of this increase. The improvement on the wholesale markets should be the second main component of this increase.
