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French Parliament paves the way for ending regulated gas tariffs in 2023

19 September 2018

A commission of the National Assembly (lower house of the French Parliament) has adopted an amendment to the Loi Pacte, allowing the government to issue a decree removing domestic regulated gas tariffs within 6 months after the law entering into force.

Regulated gas tariffs currently apply to more than 5 million households and are applicable to customers of the French utility Engie. They could be removed as of July 2023.

The regulated tariffs were estimated to be contrary to the European law by the French Council of State in July 2017, arguing that there is no economic interest for regulated gas prices - offered by Engie and local historical gas distributors only - that could justify barriers to full competition in the market.

The French National Association of Energy Retail Operators (Anode), which groups together alternative gas suppliers such as Direct Energie, Eni, or Lampiris that are not allowed to supply customers at regulated tariffs criticized a late measure and asks for additional guarantees.

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