According to the annual Energie-info assessment by the French national energy ombudsman, only one in two French people is aware that there is free competition when choosing their energy supplier. Anyone, whether a business or private individual, can put companies supplying gas or electricity in competition with each other.
To reduce your bill, you need to compare suppliers' offers.
After a 3.9% increase in October 2014, regulated gas tariffs rose by a further 2.31% on 1 November 2014, while electricity tariffs rose by an average of 2.5% on the same date. This continuing increase in charges is having an impact on household finances and morale. In fact, according to the National Energy Ombudsman's annual Energie-Info barometer, 78% of those surveyed believe that energy consumption is "an important issue", and even "very important" according to 25% of those questioned.
These continuing increases have prompted 42% of respondents to reduce their heating.
According to the same CSA survey of 1,501 households, 64% of those questioned felt that the cost of electricity or gas was high in their budget. What's more, 13% of the households questioned have experienced difficulties in meeting their energy bills, which explains the tendency to heat their homes less.
There has been a solution to this problem since 2007, when the energy market was opened up to competition. The problem lies in the fact that only 20% of French people are currently aware of the benefits, compared with 14% in 2013. Although there is gradually a change in mentality, these are low figures.
While 71% of households surveyed consider free competition to be "a good thing", only 50% are aware that it is possible to choose a new supplier at any time. Without this consumer awareness, competition cannot fully play its role in improving the purchasing power of the French.
A lack of information among households
The same survey highlights confusion in the minds of consumers, 30% of whom believe that GDF Suez and EDF are the same company. Under these conditions, it is difficult for these two competing companies to play on price to gain market share.
Similarly, if electricity is delivered exclusively (with rare exceptions) to your home by ERDF, you retain a free choice of supplier. The law stipulates that individual consumers, like small businesses, retain the option of returning to the regulated tariffs at any time after having abandoned them, so there's no risk in leaving the incumbent supplier.
