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Falling public cost of supporting renewables

The cost of supporting renewables in France fell by 13.4% over the last two years according to figures released by the regulatory authority, CRE, despite an increase in renewables production of 64%, particularly from wind power, over the same period. The fall came about because, as the overall price of electricity has increased steeply in recent months, the gap between the cost of renewables and conventional generation has narrowed. As a result, the charge passed on to consumers in their electricity bills will remain at EUR 4.5/MWh in 2008. According to Planète Eolienne, a federation of pro-wind associations, a household consuming 6000 kWh will pay an additional EUR 27 on their electricity bills in 2008, of which just EUR 1.57 is to cover the cost of the premium purchase price paid to renewables. Trade association the Renewable Energy Syndicate calculates that each household will pay just EUR 0.50 on average to support wind power in 2008.

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