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Proposal to raise the ceiling of ARENH to 150 TWh

The parliamentary group La République en Marche has tabled an amendment in the framework of the « Energy Climate » bill. Such a proposal had already been presented in 2018 by The Republicans but was refused. The debate around the ARENH has grown in recent months, particularly around the issue of rising regulated tariffs.

In the current calculation method, the capping of ARENH contributed to an increase of 5.9% in the 1st  June 2019 these regulated tariffs. The government, which wants both to stem the rise in consumer prices and to allow competition to be fully exercised, seems to be in favor of raising the ceiling.

Given the tight schedule, the bill that will be considered by the National Assembly and then by the Senate, may not be effective for the year 2020. The new ceiling would then apply only for applications concerning the 2021 supply. This ceiling of 150 TWh is 17 TWh higher than the demands of the alternative suppliers at the last window. If implemented at the next supply window in 2020, the capping would likely be zero or very low.

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