The increase is likely to weigh on many French households. The regulated sales tariff (TRV) of natural gas, sold by Engie, will increase sharply by nearly 10% on July 1, due in particular to the rise in world prices, the regulator announced on Friday.
“Engie’s TRV increased by 9.96% before tax on July 1, 2021. This sharp increase is mainly due (for 7.8%) to the rise in gas prices on the world market linked to the economic recovery”, explains the Energy Regulatory Commission (CRE) in a press release.
Low stocks and maintenance operations
“Gas prices on the world market rose very sharply in July,” she explains, highlighting a series of factors: economic recovery, low levels of gas stocks, maintenance operations in the North Sea, increase in gas prices. gas consumption for electricity production …
The other big factor is the rising cost of Energy Saving Certificates (EECs), a device that obliges gas or electricity suppliers to finance energy savings.
The government recently revised upwards the energy saving objectives set under these measures for the period 2022-2025, as well as the share intended for the most vulnerable. The sharp rise in regulated prices announced for July, however, follows a period of decline during the crisis. In the end, they have only increased by 1.1% since January 1, 2019, says CRE.