The French Competition Authority recommends abolishing regulated electricity tariffs

In a report published this week, the French Competition Authority (Autorité de la Concurrence) recommends abolishing regulated tariffs for the sale of electricity, in parallel with the disappearance of the ARENH at the end of 2025. For the Competition Authority, the regulated tariffs offered by EDF and the local distribution companies do not really protect consumers (59% of households buy their electricity at the regulated tariffs, as do 1.7 million very small businesses). They also hinder the development of competition. During the energy crisis, the government had to put in place a tariff shield to supplement the TRVs to prevent the electricity bills of residential customers from exploding, at an exorbitant cost to the State's finances. However, the French Competition Authority is proposing an alternative scenario to the outright disappearance of the TRVs, in which EDF's competitors would be authorised to sell electricity at the TRVs.