The Cost of Power

Expensive Power on One of Europe’s Largest Demand Bases

France pairs one of Europe’s largest demand bases with electricity that is expensive in absolute terms. A commercial-weighted, all-in business tariff lands at around €0.145 per kWh across the mid-sized commercial and industrial sites that make up the bulk of demand, with mid-size commercial users paying closer to €0.16–0.18/kWh. For a factory, data centre, or commercial estate, the price of a kilowatt-hour is the single biggest reason to stop wasting any.

~€0.145
French commercial-weighted all-in electricity, per kWh, for the qualifying mid-sized commercial and industrial base — energy plus TURPE network charges plus non-recoverable taxes; mid-size commercial sites pay nearer €0.16–0.18/kWh

Even large-industrial users, who pay nearer ~€0.10/kWh before tax, sit high by world standards — and the floor under them is rising, not falling. The cheap-nuclear ARENH scheme that obliged EDF to sell part of its output at €42/MWh ended on 31 December 2025, with the replacement framework targeting around €70/MWh. So the argument that “industrial power is cheap, efficiency doesn’t move the needle” simply does not hold here. Every percentage point of wasted current is charged at a high unit rate.

What power costs in FranceTypical electricity prices by customer type, 2024–2026
Who paysTypical priceNotes
Large industry (before tax)~€0.10/kWhHigh by world standards; the floor is rising as ARENH ends
Commercial-weighted all-in (qualifying sites)~€0.145/kWhEnergy + TURPE network + non-recoverable taxes; the bulk of the demand base
Mid-size commercial~€0.16–0.18/kWhCommercial estates feel the tariff as acutely as industry — or more
Households (incl. taxes & levies)~€0.30/kWh (H2 2025)The regulated unit rate alone is ~€0.19/kWh; the all-in figure is higher
Sources & currency

Industrial, commercial-weighted and mid-size commercial prices are drawn from our France market research (Eurostat tariff bands, Selectra and Opera Énergie delivered-price ranges, weighted to the commercial-heavy qualifying base). The household figure is the all-in price including taxes and levies for a medium consumer; the regulated unit rate (Tarif Bleu) is lower — both are web-sourced and approximate. Figures are current as of 2024–2026 and are revised regularly — verify against Eurostat electricity prices and the Commission de régulation de l’énergie (CRE) at the time of reading. Prices are per kWh and exclude site-specific demand and capacity charges.

How You’re Billed

A French Industrial Bill Is More Than the Energy You Use

The headline cent-per-kWh is only part of the story. A metered French site pays for the energy itself, for the network that delivers it through the regulated TURPE tariff, for taxes and decarbonisation levies — and, critically for power quality, for the apparent-power capacity it reserves (in kVA) and for the reactive energy it draws. TURPE network charges alone run to 30–40% of a low-voltage professional’s bill, and two of its line items move directly when you correct power factor.

Anatomy of the billThe main components of a French non-domestic electricity bill — and which ones power quality changes
ComponentWhat it isCut by power quality?
Energy (wholesale / commodity)The kWh you consume, at the traded or contracted priceIndirectly — lower network losses
Network — TURPEThe regulated tariff for use of the public network; 30–40% of a low-voltage professional’s billPartly
Taxes & leviesElectricity excise and other non-recoverable chargesNo
Capacity / power subscribed (kVA)A standing charge on the apparent-power capacity you subscribe to at your connectionYes — lower apparent power means a lower charge
TURPE reactive-energy charge (kvarh)A charge on reactive energy drawn once it exceeds the tan φ 0.4 threshold, in winter peak hoursYes — power factor correction cuts it directly

So the answer to two questions French operators often ask: yes, you are billed for capacity — through the subscribed apparent-power (kVA) charge — and yes, you are billed for poor power factor, through the TURPE reactive-energy charge once you exceed tan φ 0.4. Both fall as power factor rises toward unity, which is exactly what correction delivers.

Power Factor & Regulation

A Reactive Charge Billed on tan φ — Not cos φ

France bills reactive energy through TURPE on a distinctive rule: it measures tan φ, not cos φ. A charge applies when tan φ exceeds 0.4 — equivalent to a power factor below cos φ 0.928 — for sites above 250 kVA, between November and March, 06:00–22:00. A site running at 0.85–0.92 power factor — typical for motor- and drive-heavy plants — therefore pays a recurring winter charge that falls away the moment it is corrected to 0.98+, alongside a lower subscribed-capacity charge. Crucially, this penalty is set by the network tariff, not the energy price — so it is unaffected by the recent fall in regulated tariffs.

On harmonics and supply quality, French connections must hold voltage quality within EN 50160 — which caps total harmonic distortion at 8% for 95% of each week — and manage harmonic emissions under the IEC 61000 series, while equipment behind the meter must respect the Enedis/RTE grid-connection technical reference (documentation technique de référence) and installation work follows NF C 15-100. As variable-speed drives, rectifiers, EV charging and behind-the-meter solar multiply on French sites, staying inside those limits increasingly requires active harmonic filtering — not just a one-off survey.

Regulatory references

The TURPE reactive-energy charge above tan φ 0.4 (sites >250 kVA, Nov–Mar, 06:00–22:00) is set within the regulated network tariff overseen by the CRE; voltage-quality limits follow EN 50160, harmonic emissions follow the IEC 61000 series, and connection follows the Enedis/RTE technical reference and NF C 15-100. The exact thresholds, hours and rates are periodically revised — confirm the charge and limits that apply to your connection with your network operator (Enedis or your local distributor), your supplier and the CRE before relying on them.

Why Power Quality Matters Here

A High-Cost, High-Inverter, Capacity-Constrained Grid

Three structural forces make power quality a French boardroom issue, not just an engineering one. First, the tariff — already covered, expensive in absolute terms, with the floor under large users rising as ARENH ends. Second, the generation mix: France ran 67% nuclear, 14% hydro and 13% wind and solar in 2024, with low-carbon sources at 95% of the mix — and the 72 TWh of wind and solar, plus fast-growing rooftop PV, raises harmonic distortion and voltage-rise volatility at exactly the commercial and industrial sites we serve. Third, capacity: grid congestion in fast-growing zones such as Marseille and Île-de-France, and the data-centre and AI build-out concentrating high-value low-voltage load, make freeing transformer and switchgear headroom on the connection you already have unusually valuable — letting a growing or electrifying site add load without waiting for a costly Enedis connection upgrade.

What matters less in France is resilience. The grid is among the most reliable in the world — Enedis loses around 36 customer-minutes per customer per year — so unlike sites in parts of Africa or the Gulf, French operators are driven by cost, charges, capacity and compliance rather than by keeping the lights on.

The Solution

Solid-State Correction and Filtering, Network-Wide

HarmoniQ installs a coordinated, solid-state system at the low-voltage switchboard — where French sites carry their cost, where the TURPE reactive charge bites, and where the inverter-heavy grid injects distortion. We deploy three products as the site requires: the HarmoniQ Booster for real-time power factor correction, the HarmoniQ Filter (HPF) for harmonic mitigation, and HarmoniQ Alpha as the integrated platform tying correction, filtering and voltage optimisation together. No switched-capacitor steps, no contactors, and no resonance risk with the harmonics already on your system.

Power Factor Correction
HarmoniQ Booster

Real-time true power factor correction to 0.98+ across the whole network — clearing tan φ below 0.4 to remove the TURPE November–March reactive charge and cut the subscribed-capacity charge, and freeing transformer headroom so you can add load without a costly Enedis connection upgrade.

HarmoniQ Booster
Harmonic Mitigation
HarmoniQ Filter

Active harmonic filtering that holds distortion within the EN 50160 8% limit — the component that matters most in France’s high-inverter environment, where drives, rectifiers, EV charging and on-site solar all push harmonic levels up.

HarmoniQ Filter
Integrated Platform
HarmoniQ Alpha

Unifies correction, filtering and voltage optimisation across multiple boards or sites — stabilising voltage at the point of use for hospitals, data halls and process plant, with the visibility to prove power factor, reactive energy and apparent-power demand at the meter, continuously.

HarmoniQ Alpha
Why not just install capacitor banks? + Read more− Close

Switched-capacitor banks correct power factor in fixed steps at the incoming feed — enough, in theory, to lift you over the tan φ 0.4 threshold at the meter. But they respond in steps and seconds, so they lag fast-changing loads; they sit only at the boundary, so reactive current still flows through your internal network; and on a system carrying harmonics — as nearly every modern French site does, with its drives, rectifiers and inverters — a capacitor bank can form a resonant circuit with the supply, amplifying those harmonics.

HarmoniQ is solid-state and dynamic: it corrects continuously rather than in steps, works across the network rather than at one point, and carries no resonance risk. Paired with active filtering, it is power factor correction and harmonic mitigation designed for a plant full of drives and inverters, not the switchgear of forty years ago.

What It’s Worth

High Tariff, a Real Reactive Charge — the Savings Compound
Savings SnapshotIllustrative French low-voltage site — ~1–4 MW, drawing roughly €0.5–2.0 million of electricity a year at ~€0.145–0.18/kWh
LeverWhat changesEffect on the bill
Power factor → 0.98+Reactive energy clears the tan φ 0.4 threshold; apparent-power demand fallsTURPE reactive charge removed; capacity charge cut
Harmonic filtering to EN 50160Lower distortion, cooler transformers & cablesLower losses, longer asset life
Capacity release~15–20% of transformer / switchgear headroom freedAdd load or couple rooftop solar without a costly Enedis connection upgrade
Indicative annual savingA material recurring sum on a site of this size — plus the capacity released
Your numbers, not a template

Every site’s loads, tariff and reactive profile are different, and the figures above are illustrative of the mechanism — not a quote. Our engineers will model the exact power factor improvement, TURPE reactive and capacity charges avoided, losses recovered and capacity released for your specific connection — get in touch for a site assessment, or see the method on our power factor correction and demand-charge pages.

How It Works

Three Steps. Zero Disruption.
1
Assess
Our engineers measure your power factor, reactive energy, harmonics and load profile, and model the exact TURPE reactive and capacity charges avoided, losses recovered and capacity gained for your site.
2
Install
The system is sized to your site and installed in parallel at the switchboard — no circuits broken, no production interruption, at sites from manufacturing plants to data halls and commercial estates.
3
Verify
Results are proven at your own meter and held to a minimum performance guarantee — switchable on and off so you can confirm the difference in metered results in real time.

Common Misconceptions

What We Hear — and the Reality
Myth
“Regulated tariffs just fell, so the savings case is going away.”
Reality
The TURPE reactive-energy charge is set by the network tariff, not the energy price, so it is unaffected by the recent fall — and the floor under large industrial users is rising again as ARENH ends. The case is anchored on charges and an expensive all-in tariff, not the volatile commodity price.
Myth
“We have capacitor banks, so our power factor is sorted.”
Reality
Capacitor banks correct in fixed steps at the meter, leave the internal network uncorrected, and can resonate with the harmonics every modern French site carries. HarmoniQ corrects continuously and network-wide, with no resonance risk.
Myth
“The TURPE reactive charge is too small to bother with.”
Reality
It is billed every winter the moment you exceed tan φ 0.4 — and motor- and drive-heavy sites typically sit at 0.85–0.92. Correcting to 0.98+ removes that recurring charge and lowers your subscribed-capacity charge at the same time.