How is the gas price broken down?

In France, a number of components come into play when establishing the price of gas.

The price of gas is made up of the following elements:

  • supply costs: these cover the expenditure associated with buying natural gas from producers (prospection, extraction of deposits, international transport etc.),

  • costs other than supply, also referred to as infrastructure costs: these are the costs of storage, transport, distribution and marketing of the gas.  

Added to these different costs are taxes and levies: VAT, the internal tax on natural gas consumption and a transport tariff levy.

The price of gas is constantly changing, influenced by the quantity of gas available on the market, the macroeconomic situation, geopolitical factors, the weather, gas demand for electricity generation, and exchange rates.

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