The French government recently proposed a new mechanism known as the Rendez-vous Clause, designed to adjust electricity taxes in line with market fluctuations in energy prices. The plan is expected to be part of the 2025 budget, aiming to reduce electricity costs by approximately 9 percent by February 2025 for about 80 percent of households.
In response to global crises and the energy transition, which has caused significant volatility in electricity prices, the proposed clause seeks to align taxes with current market rates to prevent high financial burdens on citizens when paying their bills. Households on regulated tariffs or with contracts indexed to market prices—covering around 76 percent of French households—will directly benefit from this adjustment.
While the concept of aligning household bills with market prices is relatively new in France, similar mechanisms have been implemented globally and have proven effective in maintaining financial stability for consumers during periods of high energy price volatility.
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For example, the United Kingdom has an energy price cap mechanism that is regularly adjusted to reflect market conditions. Although the cap is not directly tied to market prices, it protects consumers from sudden and excessive price hikes. The cap covers around 28 million households and is updated every three months. For the period from October 1 to December 31, the price of gas is capped at 6.24 pence per kilowatt-hour (approximately €7.50), while electricity is capped at 24.50 pence per kilowatt-hour (slightly over €29).
In Serbia, there is currently no system directly linking electricity prices for consumers with market price fluctuations, as France plans with its clause. Electricity prices for households in Serbia are primarily regulated and set by the government, though there are variations in tariffs depending on the time of day, allowing citizens to save money by using energy during off-peak hours. However, these tariffs are not directly tied to current market energy prices. Instead, prices paid by consumers are typically reviewed annually or as needed, based on general economic conditions at the time, without mirroring direct changes in the global energy market.
Countries worldwide are exploring various ways to adapt to current energy dynamics, given the fluctuating prices, sudden spikes, and the pressure of climate goals on an already increasing demand for electricity.
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