Government is trying to contain bakers’ electricity bill

hit hard by the increase in the price of energy, bakers will be able to request the postponement of the payment of their taxes and social contributions, and freely terminate their electricity supply contract in the event of price increase ” prohibitive “.

by Marie Slavicek (with AFP)

The executive attempted, Tuesday, January 3, to respond to the concern of the 33,000 bakers in France, faced with the outbreak of their electricity bill. They will be able to “ask for the postponement of payment of their social taxes” to relieve their cash flow, said on franceinfo The Prime Minister, Elisabeth Borne. The government’s chef also wanted small businesses “in difficulty” to “spread” the payment of energy bills “over the first months of the year”.

Another announcement made by the Minister of the Economy, Bruno Le Maire: the bakers will have the opportunity to terminate their electricity supply contract free of charge in the event of an increase in “prohibitive” price and “threaten [ company survival “. This “exceptional” measure will be applied “on a case -by -case basis” by energeticians, however warned the Mayor after a meeting in Bercy with the electricity – Totalnergies, EDF, Engie and the association suppliers and the association National of energy retail operators (anode), which brings together alternative operators. “The state is alongside all the bakers in France and we will not drop anyone,” said the minister earlier in the day, at a press conference, after receiving representatives of the sector.

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Electricity suppliers have also assured that they would fully apply a charter of good practices signed in October and that the mayor accuse them of not respecting. They had notably committed to preventing customers not eligible for the regulated electricity rate (TRV) at least two months before the end of their contract. In the event of a breach, the faults “will see their name publicly disclosed,” warned the Mayor. “We can always take more from energy suppliers than what we do today,” the minister threatened, after months of inflamed debates around the taxation of superprofits. In addition, electricity suppliers have “committed [Tuesday] to offer payment facilities to SMEs and VSEs”, he added.

Consequence of the war in Ukraine, the price of electricity which feeds the huge ovens and the cold rooms of the bakeries has exploded. Added to this is a high increase in the cost of raw materials (flour, butter, eggs, sugar, etc.). Result: for several months, many professionals in the sector say they have been at the abesses and fear to put the key under the door. At the end of December 2022, the highly publicized case of Julien Pedussel, baker in the Oise, helped to alert the threat that weighs on these traders. Au Parisien , the manager of the bakery Rieux said that his electricity bill had gone from 1,000 euros in October 2022 to more than 6,000 euros in November. An increase impossible to amortize by its turnover (of around 20,000 euros per year) or to pass on its prices.

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/Media reports cited above.