Government Announces Slight Electricity Bill Reduction Starting February 1st

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Government Announces Slight Electricity Bill Reduction Starting February 1st
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The French government has announced a slight reduction in electricity bills starting February 1, 2026. This change results from a decrease in the Contribution Tarifaire d’Acheminement (CTA), which will save consumers approximately €540 million annually. Households are expected to benefit from a reduction of around €10 to €12 each year, while businesses, like bakeries, could see savings up to €200.

Details of Electricity Bill Reduction

Roland Lescure, the Minister of Industry, confirmed this decision on January 3. He stated that the CTA reduction will lead to a 5% decrease in electricity subscription prices. This decrease aims to enhance consumer purchasing power without affecting public finances, as the CTA does not contribute to the state budget.

Financial Impact and Expected Outcomes

  • Overall savings: €540 million per year
  • Household savings: approximately €10 to €12 annually
  • Savings for bakeries or similar businesses: up to €200
  • Monthly price reduction: 5% for subscription charges

Lescure emphasized that while this reduction may not revolutionize energy pricing, it represents a meaningful and immediate improvement. The government views this as a crucial step towards reducing electricity bills and preparing for a future electrification plan.

Supporting Measures and Future Planning

This initiative follows consultations with the Conseil Supérieur de l’Énergie (CSE), the Commission de Régulation de l’Énergie (CRE), and the Comité National des Industries Électriques et Gazières, all of which support the measure. The changes will take effect once published in the Journal officiel.

The backdrop to this announcement includes the recent structural changes in the French electricity market, effective January 1, 2026. The new system, known as the “Versement Nucléaire Unique” (VNU), is anticipated to maintain stable electricity prices for the majority of households in 2026 and 2027. Lescure noted that this system is designed to prevent excessive price hikes, a concern highlighted by the previous system’s failures, especially during the energy crisis triggered by geopolitical tensions.

As France moves forward, preparations for a comprehensive energy roadmap are nearly complete, promising further plans to enhance the country’s energy security and affordability.

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