Sunday. 05.02.2023
ENERGY

France caps gas and electricity costs over winter as prices soar

The government also announced a one-time payment of 100 euros in what was described as an energy cheque for the 6 million low-income households nationwide
06 September 2021, France, Lyon: French Prime Minister Jean Castex delivers a speech during the opening of the Global Industry trade show. Photo: Laurent Coust/SOPA Images via ZUMA Press Wire/dpa
French Prime Minister Jean Castex delivering a speech. Photo: Laurent Coust/dpa/File photo.

The French government plans to cap gas and electricity prices during the winter months in view of the dramatic surge in energy costs, Prime Minister Jean Castex said on Thursday.

"We are imposing a tariff brake," Castex said, adding that the measure aimed to protect the purchasing power of the French.

The price of gas will not exceed the tariffs that apply after an increase from the beginning of October, in a measure that is to extend throughout winter until April.

Without the cap, French people's heating bills would have risen by 30%. "That will not happen," Castex said.

The electricity price will also not be increased until the end of the year, and then by a maximum of 4 per cent from the beginning of 2022, he said.

'Energy cheque'

The government also announced a one-time payment of 100 euros (115 dollars) in what was described as an energy cheque for the 6 million low-income households nationwide. It is to be paid out in December.

Castex announced the measures in a televised speech and they were also shared in social media.

Throughout Europe, many governments are considering how to deal with steeply rising energy prices, including for petrol.

France caps gas and electricity costs over winter as prices soar
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