Prime Minister Elisabeth Borne stated Saturday that the tariff shield on energy prices could soon be replaced with more targeted assistance for small- and medium-sized French citizens next year. . "We will not expose the most modest French people for reckless increases in energy prices," the head of government assured the press at the Aix Economic Meetings.
She said that "if there was no protection" for gas prices or caps on electricity price, "electricity will be a third more costly, and gas 45-500% more expensive." We can't imagine asking French people, even the humble ones, to pay 45% more or a third more electricity.
Elisabeth Borne said that, due to the high cost of the tariff protection for the State, it was necessary to "move from general mechanisms towards more targeted mechanisms". She added that "the work is still in progress."
The government announced on Thursday that the aid for people who drive to work will be taking over from the general discount 18 cents per liter fuel price. This will gradually decrease, and then end. In December.
Borne was less forthcoming when asked about whether it would be wise to tax "surplus profits" that energy firms might realize due to the sharp rise of energy prices. Borne said, "In principle, yes, if there is someone who derives superprofits out of the crisis, then we would like that that it to benefit everyone and reduce the burdens that can be generated by the crisis." She immediately reaffirmed that "afterwards it's not entirely simple." She said that many of her neighbors have implemented tax mechanisms for these profits, but France is not in the same position.
The Prime Minister stated that EDF has production problems today with its nuclear fleet, and that we import huge amounts of electricity from abroad. This ruled out any possibility of EDF making "surplus profits". She also noted that "we have oil firms that have distribution activities (but) do not generate super profits."
