Gas and electricity price increases capped at 15% in 2023

Posted Sep 14, 2022, 4:15 PMUpdated on Sep 14, 2022 at 4:48 PM

The energy tariff shield will be extended in France in 2023, with a cap on price increases of 15% for gas in January 2023 and 15% for electricity in February, Elisabeth Borne announced on Wednesday.

To avoid future increases in energy prices “which would not be sustainable, we are going to extend in 2023 the tariff shield mechanism for all households, for condominiums, social housing, small businesses and the smallest municipalities. “, declared the Prime Minister during a press conference. “We will thus limit price increases to 15% for gas in January 2023 and 15% for electricity in February”, instead of the 120% expected, she added.

An average increase of 20 to 25 euros per month

“Very concretely, these increases will lead to an average increase in bills of around 25 euros per month for households that heat with gas, instead of around 200 euros per month without a tariff shield. And an average increase of around 20 euros per month for households that heat with electricity instead of 180 euros per month without a tariff shield,” said Elisabeth Borne.

She also announced that the 12 million poorest households will receive an “exceptional” energy check of 100 to 200 euros, depending on their income, by the end of the year.

“Every gesture counts”

As a reminder, in 2022, the increase in electricity prices for individuals had been blocked by the government at 4%, and gas prices frozen at the level of October 2021.

The Minister of Economy and Finance, Bruno Le Maire, specified during the same press conference that the net cost of this new tariff shield was estimated at 16 billion euros – 11 billion for gas and 5 billion for electricity. The cost of energy vouchers is estimated at 1.8 billion.

If the head of government expressed her fears in the event of a “particularly cold winter combined with supply difficulties”, Elisabeth Borne insisted on the fact that “in the most probable scenarios, if everyone takes their responsibilities and shows the necessary sobriety, there will be no cuts”.

“Sobriety is not producing less. It is a question of reducing the heating a little and avoiding all unnecessary consumption (…) It is therefore millions of individual decisions, each day of each of us, which are essential so that next winter going well,” she insisted.

The government will also launch a communication campaign on October 10 to encourage energy savings, with the slogan “Every gesture counts”.

Leave a Reply

Your email address will not be published. Required fields are marked *