The Finance Bill sets out changes to taxes, the ARENH mechanism and the capacity mechanism

The Finance Bill tabled at the National Assembly contains provisions concerning taxes on electricity and gas, changes to the capacity mechanism and the ARENH mechanism.
The TICGN would rise to €10.54/MWh in 2025 (compared with €16.37/MWh in 2024).
The TICFE for households and similar would rise to €25.09/MWh (compared with €21/MWh in 2024). The TICFE for businesses would rise to €20.90/MWh (compared with €20.5/MWh in 2024). However, the government reserves the right to vary the TICFE by decree between €5 and €25/MWh.
The reduced rates of the TICFE will be maintained at €0.5/MWh in 2025.
The existing capacity mechanism will be extended until the end of 2026. From 2027, the capacity mechanism will evolve: RTE will buy the necessary capacity from producers, with the cost of the mechanism being recovered via a tax paid by electricity consumers.
The post-ARENH mechanism is enshrined in law. Under this system, revenue from EDF's nuclear electricity sales will be taxed at a rate of 50% when a first threshold (taxation threshold) defined in euros per MWh is reached, and then at a rate of 90% when a second threshold (capping threshold) is reached, with the amount of the tax being paid back to electricity consumers. The tax thresholds are defined by decree and revised every three years.
The Finance Bill is not expected to be adopted until late in the year. In practice, the provisions adopted may differ from those contained in the bill.