France extends fuel subsidies as petrol prices hit near-record highs

Fuel prices in France have reached significant highs, with SP95-E10 averaging 2.09 euros per liter and diesel at 2.259 euros per liter. This surge is driven by international market volatility and geopolitical tensions in the Middle East, which have pushed Brent crude prices toward 95 dollars per barrel.

In response, the French government has announced the extension of several support measures. Energy Minister Maud Bregeon confirmed that subsidies for sectors most exposed to price hikes—including agriculture, fishing, and construction—will be maintained through September and October. Additionally, the application window for the ‘grands rouleurs’ (heavy commuters) aid, which provides a 100-euro indemnity for low-income workers, has been extended until September 30.

While transport companies are no longer eligible for certain subsidies as they can pass costs to clients, the government continues to manage a monthly support cost of approximately 70 million euros. Retail leaders, such as Michel-Edouard Leclerc of E.Leclerc, have noted that while prices are near historical peaks, they may not reach extreme levels like 2.40 euros per liter unless geopolitical stability fails to return. Some regional initiatives, such as those in the Sud region, are also promoting bioethanol conversions to help households reduce long-term fuel expenses.