France caps price increases for gas and electricity over the winter

Gas landing station for the Nord Stream 2 Baltic Sea pipeline in Lubmin

Wholesale prices for natural gas have risen dramatically this year.

(Photo: dpa)

Paris, Brussels In view of the steep rise in energy prices, France has announced a cap on gas and electricity tariffs over the winter months. “We are applying a tariff brake,” said Prime Minister Jean Castex on Thursday evening. It is about protecting the purchasing power of the French.

During the winter until April, the gas price will not exceed the tariffs applicable after an increase from the beginning of October. Otherwise the French heating bill would have risen by 30 percent. “That will not happen.” The electricity price will not be increased until the end of the year, and from the beginning of 2022 by a maximum of four percent.

For the roughly six million households in France with low incomes, the government also announced a so-called energy check for 100 euros, which is to be paid out in December. The Prime Minister announced the government’s moves on the evening television news and on social media.

Rising prices, including for gasoline, are currently a topic of public debate. In view of the upcoming presidential election next April, the government of President Emmanuel Macron has not been sparing lately with financial commitments for various policy areas.

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High energy prices will be a topic at the next EU summit

The drastic rise in energy prices is also becoming a top priority in the EU. The heads of state and government of the member states want to discuss the issue at a summit on October 21 and 22, as a spokesman for the European Council announced on Thursday. Council President Charles Michel put the item on the agenda in view of the dramatic rise in prices.

Wholesale prices for natural gas have been skyrocketing for months. The price of electricity has also risen sharply. In many places, consumers are already feeling this. Member States such as Spain are calling for joint action at EU level to curb the increase. A statement on the subject from the EU Commission is expected next week.

More: Soaring gas prices are just a foretaste of what is in store for people now

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