Electricity prices: who is affected by the 15% increase on February 1?

A new rise in a few hours. The electricity bills of the French have only been getting heavier for a few months and this is not going to improve this Wednesday, February 1st with the new rate increase. Although this increase has been programmed for a long time and is limited within the framework of the government’s tariff shield, it will still have a direct impact on your wallet. In all, 20.54 million households are affected and 1.45 million professionals.

According to calculations by the Energy Regulation Commission (CRE), the increase should have been 99.22% on February 1, but it is limited to 15% with the shield. It is therefore identical to that of gas last month but, after a year without an increase, it is similar to a new blow for the purchasing power of the French. On February 1, 2022, the increase in electricity prices was only 4%, because the State had taken on a larger share. This year, 85% of the increase is due to public finances, after the tariff freeze of the last 12 months.

How to explain such an increase? France is not the only country concerned, as all of Europe is affected due to the resumption of economic activity after the Covid-19 pandemic. The strong demand for electricity linked to the restart of activity has led to a rise in prices in recent months. With regard to gas, the war in Ukraine which began in February 2022 has accentuated the imbalance between supply and demand, again leading to a rise in prices.

Who are the 20 million households affected by this increase? How much will be visible on the invoice?

The 20.54 million households affected by this increase are located in France, Corsica and overseas. Asked by Agence France-Presse and quoted by TF1, EDF explains that “the new prices will be passed on to the bill each month”. If you do not want to change your monthly payments, this increase will be adjusted at the end of 2023.

On average, this 15% increase corresponds to an additional 20 euros on the bill, but it all depends on how you use electricity. Small consumers will have a lower increase and large consumers will automatically pay a little more… In reality, it all depends on the contract you have chosen.

The French concerned by this increase in electricity prices are those who have opted for a contract at the regulated price. Pay attention also to the option you have chosen! Depending, the increase may be higher or lower and you will only know the amount with your first bill. This 15% increase will normally be the only one for 2023, but it will still be significant for some French people.

As Agence France-Presse, quoted by TF1, reminds us, INSEE has repeatedly expressed concern about the increase in these prices, explaining: “Because the share of transport and accommodation expenses is a little higher in their consumption basket, households with the lowest incomes are more strongly affected by the rise in energy prices”.