🚨️ Electricity and gas prices are on the rise again

Electricity and gas prices are on the rise again
After a period of calm, consumers will have to face an increase in energy prices this summer.
The edition promises to be heavy for gas consumers.
The impact on the electricity bill is more nuanced.

Will you be on the winning side or the loser side?

Gas prices: all affected by the double increase
Gas consumers will have no way out: the bill is rising for everyone this summer, with a first salvo on July 1 and a second on August 1.

Two mechanisms combine to explain this increase:
• On 1 July, the increase of 6.1% of the gas transmission tariff (ATRD 7), intended to finance the maintenance and development of networks: decided by the CRE, this revaluation aims to compensate for inflation and the financial deficit caused by the decrease in gas consumption. On average, this increase could increase home gas bills by 1.4%.
• On 1 August, the increase of VAT on subscriptions from 5.5% to 20%, to align French taxation with European law with uniform VAT rates for the same service. This reform weighs mainly on individuals, whose subscriptions represent a significant part of the bill. Concretely, The annual subscription will increase by 2.3% for households using gas for cooking and hot water, and by 4.9% if heating is added.

And the cuts announced by the government? They are not enough to reverse the trend. Neither the slight decrease in the excise duty on natural gas (fixed at €15.43/MWh), nor the anecdotal decrease in the price per kWh of gas in July (-0.36% for households heated by gas and - 0.27% for others) compensate for these structural increases.

Electricity prices: a variable impact depending on consumption
On the electricity side, the picture is more mixed. As of August 1, several price components are increasing or decreasing with:
• An increase in the cost of the subscription with the increase of VAT to 20%: for a power of 6 kVA, the average increase in the annual subscription is estimated at 12%.
• A 3% reduction in the regulated sales rate (fixed at €0.1952/ kWh), thanks to the reduction in transport costs (TURPE) and the excise duty on electricity. However, while excise duties are decreasing compared to February, their increase remains considerable over one year (+42% for small consumers and +26% for powers greater than 36 kVA).

The effects of these developments on the electricity bill vary according to the consumption profile. For small consumers under 3300 kWh/year, the electricity bill will increase. The most energy-intensive consumers will benefit from a slight reduction.

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