On February 1, 2025, French households will receive a 14% discount on the regulated electricity price, the decision was confirmed by a regulation published this Saturday. This drop comes even as the price cap imposed to limit price increases linked to the energy crisis expires on the same date. However, the main measure, the originally planned tax increase, was not implemented in the end.
The government had originally planned to raise the excise duty (electricity tax) as part of the 2025 budget project to cover the state budget deficit. This increase would have made it possible to recover 3.4 billion euros, but it would also have limited the reduction of electricity bills to only 9%. Faced with strong opposition from all parties, including the RN, LFI and LR, and the associated political risks, Prime Minister Michel Barnier abandoned the increase at the end of November, allowing households to offer more reductions to their households. electricity bill.
The text specifies that the tax (excise duty) will mechanically rise to the pre-crisis level on February 1 after adjusting for inflation. For private individuals, it therefore rises from 22 to 33.70 euros per megawatt-hour. However, there will be no further increase, allowing the regulated tariff to fully benefit from the price drop observed in international markets.
This price reduction will benefit 22.4 million households and companies that have subscribed to the regulated sales tariff (TRV), or 56% of customers. This situation can be explained by the significant drop in electricity prices on the wholesale market, which is favored by the resumption of nuclear and hydropower production, which has enabled the market to stabilize.
In summary, it can be said that despite the end of the price tag, electricity prices for private individuals will drop by 1% on February 14, 2025 due to the cancellation of the tax increase planned by the government. The decision will bring welcome relief to French households after several years of tension over energy prices.
