TURPE 6: the new electricity distribution rates

Like every year, your electricity bill will undergo an annual evolution. This concerns electricity transmission rates. Therefore, the rates of TURPE 6 evolves on August 1, 2021. The TURPE is the Tariff for the Use of the Public Electricity Network.

These rates can represent up to 33% of the final bill. Therefore, it is important to monitor the evolution of these costs carefully!

This year the TURPE 5 period (2017-2021) is coming to an end. We are therefore entering the TURPE 6 period (2021-2025). Nevertheless, the rate structure remains the same.

In fact, despite this change in period, the rates have not changed significantly. Therefore, we find the usual components of TURPE:

• The component of Counting
• The component of Management
• And the component of Fixed racking and variable

Simplified formula

TURPE = Counting + Management + Fixed Racking + Variable Racking

These are the most important components. But there are others such as overruns, injection or even the billing of reactive energy.

Changes from TURPE 6 to August 1, 2021

An increase in the “power” part

TURPE will therefore maintain this tariff structure in general terms. However, the TURPE 6 evolves in terms of balance between the fixed part and the variable part. The TURPE is therefore composed of a variable part (the one that varies according to consumption) but also of a fixed part (the one that varies according to The subscribed power among others).

Indeed, the Energy Code gives jurisdiction to the CRE (Energy Regulatory Commission) in terms of TURPE's tariff structure. It is therefore she who decides the distribution of network costs. It therefore comes down to deciding the contribution paid by each category of customer. In its work, the CRE must in some way decide on which side to tip the balance.

This year, the CRE decided to significantly increase the power part. In fact, TURPE can be broken down into two parts:

• a fixed part that depends on the power purchased;
• a variable part that depends on the kWh consumed.

This will lead to an increase in the bill for a certain number of customers. They will not all be affected in the same way by this increase in the fixed share. It all depends on their initial situation and their consumption.

Indeed, in some cases, the decrease in the variable part can compensate for this increase. This is not the most common scenario, but a number of customers may be in this situation.

However, overall, there is still an overall increase in TURPE. This increase is amplified by the increase in the CTA tax (Transport Tariff Contribution). In fact, the CTA is equal to 27.04% of the Fixed Racking component. If the latter increases, it automatically increases the cost of CTA.

TURPE is a very important vector of energy transition. It is essential that the latter goes in this direction by offering a clear economic signal. We should also congratulate the dialogue established between the actors and the CRE through public consultations. In particular, that of October 2020 made it possible to reduce the price grids for “HTA” customers who were overestimated.

Gradual extinction of some options in the <36 kVA segment

The CRE announced the scheduled end of the BASE and full hours/off-peak options for small consumption sites. This concerns sites with a power of less than 36 kVA. This disappearance will be progressive during the period 2021-2025. It is therefore to be expected that there will be gradual price increases on these formulas in the years to come.

The CRE's desire is to generalize FTA to 4 positions (full/off-peak hours and winter/summer). The arrival of Linky counters makes it possible to count the energy of customers in a more accurate way. It was the installation of these counters that allowed the improvement of counting.

The CRE therefore seeks to eliminate FTAs that do not differentiate the price per kWh sufficiently according to seasons and hours. Indeed, these options do not encourage customers to sufficiently control their energy demand or to invest in energy efficiency projects.

The fact of having differentiated billing according to hours and seasons will push these customers to postpone their consumption, even if only slightly, to other (less expensive) times of the day.

In addition, it is a price offer that has met with some success with of ENEDIS. The CRE indicates that as of 31/08/2020, nearly 11 million customers, out of a total of 36 million, chose this option at 4 time ranges. This therefore reinforces them in their choice of pricing structure.

The evolution of TURPE 6: some figures

Evolution of the TURPE 6 HTB tariff schedule (RTE transport network)

The average evolution of TURPE 6 HTB will be established at +1.09%, with an entry into force on August 1, 2021.

This rate will increase by +1.57% on average per year over the entire tariff period (4 years).

Evolution of the TURPE 6 HTA-BT price grid (ENEDIS distribution network)

The average evolution of TURPE 6 HTA-BT, for its part, will be established at +0.91% on August 1, 2021.

This rate will increase by +1.39% on average per year over the entire tariff period.

To go further, do not hesitate to consult our article” Everything you need to know about off-peak hours in electricity ”

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