To enable them to cope with the rise in energy prices, the public authorities have announced a reinforcement of the support systems for businesses.
Given the soaring energy prices, the government, concerned about preserving the economic fabric of France, has announced a reinforcement of the support systems for businesses to enable them to pay their gas and electricity bills.
These systems are adapted to different categories of companies.
The tariff shield
Set up this year for the benefit of individuals, the tariff shield is intended to benefit companies with fewer than 10 employees, which generate a turnover of 2 million euros maximum and which have an electricity meter of power less than 36 kVA.
This system will continue in 2023 both for individuals and for the 1.5 million VSEs that meet these criteria. Remember that it will limit the price increase to 15% from January 2023 for gas and from February 2023 for electricity.
Gas and electricity assistance
Introduced last July for large energy-consuming companies, namely those whose purchases of gas and/or electricity represented at least 3% of their turnover in 2021 and which have undergone a doubling of the purchase price of electricity and/or gas over the eligible period compared to an average price over the year 2021, the “gas and electricity” aid saw its granting conditions simplified in September to allow more companies to benefit from it.
Reminder: there are four eligible periods: March-April-May 2022, June-July-August 2022, September-October 2022 and November-December 2022.
The government has announced that this system, scheduled until December 31, 2022, will soon (during the month of November) be further simplified and expanded.
Thus, the aid ceilings would be revised upwards to reach €100 million, or even €150 million, for the companies that consume the most energy. It should be remembered that currently the maximum amount of aid is €50 million.
In addition, the condition of doubling the bill would be replaced by that of an increase of 50% “only”. In other words, companies with an energy bill up by 50% will be eligible for aid.
Clarification: the new eligibility criteria and the new amounts of “gas and electricity” aid should be specified soon, after the European Commission has validated them.
According to the Prime Minister, this system could be extended in 2023 for the benefit of ETIs (mid-sized companies) and large companies. To be continued…
An electricity damper
Finally, VSEs that are not protected by the tariff shield because they have an electricity meter with a power greater than 36 kVA as well as all SMEs will benefit from a new “electricity damper” device.
This system will be accessible to those who have signed a contract with their supplier providing for a price per megawatt hour (MWh) of more than €325. A priori, it will be set up in 2023 for one year. It will consist of a flat-rate aid of 25% on business consumption, which will “compensate for the difference between the floor price of €325/MWh and a ceiling price of €800/MWh”. The maximum amount of aid would therefore be approximately €120/MWh [(800 – 325) x 25%]
In practice: the price reduction would be automatically and directly deducted from the company’s electricity bill. And the state would pay financial compensation to electricity suppliers.
The precise operating methods of this damper will be specified later.
