Thomas Pellerin-Carlin on the regulation of energy prices : “It sometimes means a low energy price. But it almost never leads to low energy bills”
Our researcher Thomas Pellerin-Carlin gave an interview to Euractiv on the regulation of Energy prices in France. According to him, “regulated prices in France are probably set below production costs. In France and other countries where there are regulated prices for all households, politicians have an interest to make sure the prices are as low as possible. Because this can be good for them in terms of short-term political gains. For instance, in Bulgaria in 2013, the government was overthrown following threats of an increase in regulated energy prices.”
Regulated energy prices in France are one of the reasons why former state monopoly EDF loses money, says Thomas Pellerin-Carlin. Moreover, regulated tariffs are useless to protect vulnerable consumers from energy poverty and “almost never lead to low energy bills,” he argues.
Thomas Pellerin-Carlin is head of the energy centre at the Jacques Delors Institute, a think-tank based in Paris. He spoke to EURACTIV’s energy and environment editor, Frédéric Simon....