The giant TotalEnergies has yielded to political pressure and announced this Thursday, on the eve of the May Day long weekend, that it is extending the fuel price cap “while the crisis in the Middle East lasts,” at the 3,300 service stations it owns in France.
Read more The ECB leaves interest rates at 2% despite the rise in inflation, at highs since 2023
The most common gasoline, 95 octane, will continue to cost a maximum of 1.99 euros per liter, while diesel is capped at 2.25 euros. These prices will be in effect, at least, until the end of May. If there is a favorable development in the crude oil market, the French multinational commits to immediately passing the reduction on to consumers. Additionally, during this weekend and the next (the May 8 long weekend, the day marking the end of World War II in Europe), due to the multiple car trips, TotalEnergies will apply an extraordinary cap of 2.09 euros per liter on diesel.
The pressure on the oil company, heir to a state-owned enterprise, had become unbearable after it announced a 51% increase in its profits in the first quarter, up to 5.4 billion dollars. The issue reached the National Assembly on Wednesday. Several left-wing representatives expressed their exasperation at the immorality of profits in times of war and at the expense of consumers, and again called for a tax on super dividends. The Prime Minister, Sébastien Lecornu, reluctant to increase taxation, had to intervene in the debate, suggesting instead that there could be other measures of “redistribution” of profits such as the price cap despite the rise in oil prices. In fact, a pact was being forged between the Government and the leaders of TotalEnergies.
Read more The fall of Kidal, symbol of Russia’s failure in Mali
The CEO of the oil company, Patrick Pouyanné, always pragmatic, made headlines a few weeks ago when he showed willingness to accept paying tolls to the Iranians to transit through the Strait of Hormuz. According to him, that solution would be better than seeing traffic interrupted.
In the statement announcing the extension of the price cap, TotalEnergies, concerned about its image and proud of its commitment to protecting the environment, reminded that it is a company not only of oil but also of biofuels, biogas, low-carbon hydrogen, renewable energies, and electricity that employs more than 100,000 people and is present in about 120 countries.
Read more The Andalusian campaign starts, which everyone pays attention to except those who have to vote
