Starting February 1, 2025, approximately 24 million regulated tariff subscribers in France will see a 15% decrease in their electricity bills, marking the first reduction since 2015.

This reduction will lower the average price per megawatt-hour for households on regulated contracts to 239 euros, down from 281 euros.

The anticipated reduction was initially set at 14%, following two years of significant price hikes during the energy crisis.

The government's energy price shield, which was implemented to limit bill increases, will end on the same date, but the absence of a planned tax increase will facilitate the reduction.

Despite the decrease in electricity bills, there will still be an increase in the electricity tax from 22 euros to 33.70 euros per megawatt-hour and a 7.7% rise in transmission fees.

The regulated tariff can now reflect the decline in international electricity prices, allowing households and businesses under the regulated sales tariff to benefit from lower costs.

For example, a family of four in an electric-only home could save about 651 euros annually, while a three-person household could save 389 euros.

Households on market-rate contracts, which number around 10 million, may also see varied impacts on their bills depending on their electricity suppliers.

Overall, around 80% of French households will benefit from these savings, particularly those using electricity for cooking and heating.

Emmanuelle Wargon, head of the Energy Regulatory Commission, emphasized that the decline in wholesale prices will help offset the increases in taxes and transmission fees.

Currently, taxes account for about one-third of the total electricity bill, which includes consumption, subscription fees, and taxes.

In 2024, electricity prices rose by over 15% due to the end of the price shield, highlighting the volatility in energy costs.