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EDF given nod to recoup 1 billion euros from customers

Published 03/10/2016, 20:17
Updated 03/10/2016, 20:20
© Reuters. The logo of France's state-owned electricity company EDF is seen on the company tower at La Defense business and financial district in Courbevoie near Paris
EDF
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PARIS (Reuters) - French energy utility EDF (PA:EDF) will be able recover about 1 billion euros ($1.12 billion) from customers following a retroactive increase in bills decided by France's highest administrative body.

In June the Council of State cancelled a decree that limited EDF's electricity tariff rise in 2014 to 2.5 percent, saying it was too low to compensate for previous years' inadequate hikes.

It gave the government three months to take another decision allowing EDF to retroactively bill customers. The decrees were published on Sunday in the official journal.

The increase will apply to about 28 million homes, French energy regulator CRE said in June, adding that each household would pay about 30 euros.

French Energy Minister Segolene Royal had said customers would be able to pay about 1.5 euro per month over 18 months.

Heavily indebted EDF, said on in its revised financial outlook for 2016 on Sept. 21 that in had already taken into account the tariff adjustment.

© Reuters. The logo of France's state-owned electricity company EDF is seen on the company tower at La Defense business and financial district in Courbevoie near Paris

($1 = 0.8916 euros)

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