As Russia Chokes Europe’s Gas, France Enters Era of Energy ‘Sobriety’

The government has tried to offset some, but not all, of the pain for companies, although it recently announced a special €3 billion fund to help businesses that can’t pay their energy bills.

President Macron, who faced a stiff presidential election campaign in April that saw the far-right challenger, Marine Le Pen, gain ground by addressing French families’ worries over purchasing power, has focused on shielding households from rising energy costs.

A 4 percent cap on increases to household electricity prices that began last winter will be extended until the end of the year, and will continue into 2023 for vulnerable families, France’s finance minister, Bruno Le Maire, said last week. The price ceiling is a stark contrast to an 80 percent increase in energy bills that households in Britain are expected to face next month.

Without the cap, French inflation would be about three percentage points higher, the French statistics agency Insee said in a report issued Friday.

Nonetheless, French citizens will have to pull their weight, Ms. Borne cautioned. In recent days, the government issued announcements calling on the French to curb a range of activities, in hopes of collectively saving energy. Among them: refraining from running washers at night, keeping thermostats at 66 degrees Fahrenheit and increasing use of public transportation.

Article source: https://www.nytimes.com/2022/09/05/business/russia-gas-europe-france.html