France's gas reference price will rise 5.6% on September 1 compared with August, the Commission de régulation de l'énergie (CRE) told AFP on Monday, August 10. The average price will reach 172.05 euros including tax per megawatt-hour.
About 6 million French households whose supplier offers are indexed to this monthly average price will see their bills increase, representing roughly 60% of residential gas subscribers. Households on fixed-price offers are not affected.
Why prices are climbing
The CRE said the increase is entirely linked to rising gas prices on wholesale markets, driven by the ongoing conflict in the Middle East and difficulties around the Strait of Hormuz, a key passage for the global economy. Since the offensive launched by the United States and Israel against Iran on February 28, the Dutch TTF index, the European gas benchmark, has nearly doubled, up 93.18%.
