Economics
Hollande Faces Defeat on Energy Price Caps as Gas Suppliers Sue
This article is for subscribers only.
French President Francois Hollande has made capping energy prices a centrepiece policy to help households pressed by stagnant economic growth. It’s a campaign he’s likely to lose.
The government capped the latest rise in natural gas at 2 percent, far below the 7 percent former monopoly GDF Suez SA deemed necessary to cover supply costs. The move is a necessary part of “protecting consumer purchasing power,” Finance Minister Pierre Moscovici and Environment Minister Delphine Batho said this week.