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Progressive energy tariffs in France: an inefficient and unfair response to fuel poverty and energy efficiency goals

December 19th, 2012 by François Lévêque, Ecole des mines de Paris

The French Lower House passed a law last October introducing progressive tariffs for all energies distributed through a network: natural gas, electricity and heat. Though it was rejected by the Senate, the government is still supporting it. Introducing progressive tariffs for energy was one of the 60 promises of French President Hollande during his campaign. The law aims at reducing residential energy consumption and fighting fuel poverty. But the system proposed by the Lower House is extremely unlikely to reach these two goals. Continue reading »