October 18, 2021

The cost of energy becomes unbearable.

On October 1, 2021, 12.6% for gas, 10% for electricity, 12% and 16% for petrol and diesel: this increase in prices could lead to a social explosion.

Concerns for many French households: How to deal with rising gas, electricity and petrol prices, which are so essential to everyday life?
The Commission for Energy Regulation (CRE) announced on September 27, 2021: “The regular change in the regular rate of sale of natural gas (TRVG) by NG is + 12.6%, including VAT on October 1, 2021.” The sudden rise in gas prices has affected millions of consumers, up from more than 5 percent in August and about 10 percent in July, after an 8.7 percent increase on September 1, 2021.
Why this steady increase? France imports 99% of its used natural gas, and changes in supply costs reflect the price of gas in European and global markets, and from international gas producers (Russia, Norway, Algeria, Qatar, etc.). Take advantage With these additions, “says the Energy Regulatory Commission.
In addition, the European CO2 emissions quota – the “pollution permits” to which large industrial companies are entitled – has doubled in one year.
And it’s not over yet!

Electricity too

France generates electricity. However, prices continue to rise. UFC-Que Choisir is once again sounding the alarm: “Red alert on electricity prices. Public authorities must work to prevent a 10% explosion in bills.”
According to the Consumer Advocacy Association, the regulated rate of electricity (TRV) would have risen by about 50 per cent in a decade.

Why this increase? First, because the price of electricity is linked to the price of gas. Then, still because of the organization of the electricity market, according to the UFC. In fact, the EDF is obliged to sell a portion (approximately one-third) of its nuclear power to competitors under the 2010 Erin Agreement, meaning “regular access to historic nuclear power.”

The 12 billion Filaman Well EPR project, whose commissioning date is unknown, is weighing on electricity prices.

Fuel prices are rising.

All motorcyclists can see that the price of petrol at the pump is constantly rising. More than 12% for diesel, more than 16% for petrol in a few months. This is the fault of the global economic recovery, which needs oil to run its factories.
According to the latest figures published by the Comité Profession du Pétrole, shipments of road fuel on the French market increased to 4.204 million cubic meters in August 2021 (+ 5.7%) compared to August 2020. Gas and oil shipments increased by 3.1%. In August 2021, the supply of thermal oil increased by 103.6% compared to August 2020.

Risk of social explosion.

How long will French households be able to afford these constant energy prices? Economy Minister Bruno Le Maire is “fully aware of the problem and sees how much it can weigh on the purchasing power of households.” Rising gas prices reflect electricity prices. From an economic point of view, this is ridiculous, and from an environmental point of view, it is contradictory.
Of course, the government will sign “energy vouchers” for the most vulnerable households. But that may not be enough to calm everyone down. Because when you add these crazy increases in energy prices to equally unbearable increases in basic necessities in foods and supermarkets, which are included in tax increases (income, property taxes, etc.), you get an extreme Explosive cocktails are found.
In less than seven months before the presidential election, the smallest fuse could trigger an explosion.

Fuel price management Climate change

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