France Extends Targeted Fuel Aid Measures Amid Surging Prices Until Year-End
Government Response to Rising Fuel Prices
PARIS, Sept 16 (Reuters) - French Prime Minister Sebastien Lecornu has asked ministers to extend targeted support for sectors hit hard by surging fuel prices stemming from the Iran war until the end of the year, Lecornu's office said on Wednesday. "The aim is to preserve economic activity, jobs and growth while giving companies visibility until the end of the year," the statement said.
Nationwide Strikes and Public Reaction
• French unions across multiple sectors held a day of strikes on Tuesday to protest issues from pay rates to rising fuel prices, with the power union throttling electricity supply and halting gas transit and other workers joining marches.
Upcoming Budget Proposal
• The French government is due to present a budget proposal soon, a particularly delicate exercise, with Paris seeking to keep the deficit under control ahead of the 2027 presidential election.
Sector-Specific Fuel Aid Measures
Support for Fishermen
• For fishermen, the fuel subsidy will increase from 25 to 35 centimes per litre.
Support for Construction and Public Works
• For eligible construction and public works companies, the support will be extended at a rate of 20 centimes per litre of non-road diesel.
Support for Farmers
Extension and Adaptation of Subsidies
• For farmers, the subsidy of 15 centimes per litre will also be extended. This scheme will be adapted to form part of the emergency response to drought.
Complementary Aid Measures
• The fuel support will complement other aid measures under the agricultural emergency plan.
(Reporting by Dominique Vidalon; Editing by Rod Nickel)