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Gas: why regulated prices are increasing



Same causes, same effects. As in July, the new increase in regulated tariffs excluding tax for natural gas, which comes this 1er August, is due to the rise in world prices.

→ ANALYSIS. In the future, gas will be banned and heating will first be electric.

Knowing that 99% of the gas consumed in France is imported, the outbreak of fever inevitably affects the bill of individuals, at least those who are still under the regulated tariffs. After an initial increase of nearly 10% in the 1er July, the increase was 5.3% on 1er August.

Gas demand at its highest

Global demand for gas is at its highest. The economic recovery, especially in Asia, is pushing for consumption. ” The increase in the price of CO2 emission allowances and coal in Europe increases gas consumption for electricity production to the detriment of coal », Adds the Energy Regulatory Commission (CRE).

More ad hoc elements are added, such as the reduction in Norwegian gas imports due to maintenance operations in the North Sea. Or the filling of European stocks, heavily used this winter, and which was delayed in the spring because of temperatures below seasonal standards.

Around 5 million consumers affected

The regulated tariff is set by the public authorities after a proposal from the CRE. This price can change every month, up or down, or remain the same. The calculation formula which determines its evolution is based on supply costs, wholesale gas market prices, transport and distribution costs.

Green gas demands more resources

Slightly less than half of residential gas consumers will be affected by these tariff changes, ie 5.2 million people out of a total of 10.7 million. These are the 3.1 million individuals holding a regulated rate contract, concluded in the vast majority of cases with the incumbent operator Engie. In addition, there are the 2.1 million individuals who have taken out a market offer contract, with Engie or an alternative supplier, with a price indexed to the evolution of regulated tariffs. The 5.5 million consumers who have chosen a fixed price offer are not affected by these monthly changes.

As a reminder, regulated gas sales tariffs will disappear completely on 1er July 2023 and it is no longer possible to take out contracts of this type.

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