It is possible that the bill costs a little more… In a press briefing this Friday, October 11, the Minister of Ecological Transition and Energy, Agnès Pannier-Runacher indicated that the government was going to propose “an increase in taxes on gas”by way of an amendment to the finance bill.
“It is especially important to prevent public policies and public money from making carbon solutions less expensive than carbon-free solutions,” declared Minister Agnès Pannier-Runacher, referring in particular to the increase in taxation of electricity, essentially carbon-free in France due to the importance of nuclear power.
The government’s plan to increase taxes on gas appears implicitly in the press kit of the finance bill under the heading “measures by amendment (airline tickets, fossil fuels)”. Together, these measures should bring 1.5 billion euros to the state budget, including 1 billion for the increase in taxes on plane tickets.
The previous government already doubled the excise on gas on January 1, 2024, one of the taxes paid by gas suppliers and passed on to consumers, which at the time materialized the end of the price shield on gas.
20% VAT on boilers
To comply with European regulations and France’s decarbonization objectives, the draft budget announced this Thursday, October 10 plans to exclude gas boilers from the scope of VAT reduced to 5.5% or 10%.: they will now be taxed at the full rate of 20%. Enough to bring in 200 million euros for the government.
A measure already denounced: “a counterproductive, risky and unjustified overtaxation, especially for the poorest households”explained Jean-Charles Colas-Roy, president of Coénove (gas sector), before the publication of the budget. Around 400,000 gas boilers are sold each year in France.
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