“The enchantment” of the three main French vitality corporations within the JDD of this Sunday, June 26, 2022 is disturbing. As a result of, they are saying, the upcoming value hike “threatens our social and political cohesion”. How politely these items are stated!
The three main French vitality corporations, Catherine MacGregor, head of Engie, Jean-Bernard Lévy, CEO of EDF, and Patrick Pouyanné, CEO of Whole Energies, have issued a transparent warning in an article in the Journal du Dimanche. They announce a forthcoming surge in vitality costs and name on the French to get used to sobriety.
More and more uncommon
The explanations for the droop are well-known: the drop in Russian fuel deliveries, tensions on the electrical energy market (24 of the 56 reactors of the French nuclear park are beneath upkeep), added to the weather conditions and the drought which have decreased the hydraulic manufacturing. Power is changing into more and more scarce, and due to this fact more and more costly. Therefore the difficulties to return. The three vitality corporations remind us, with out joking, that “the very best vitality is the one we don’t eat”.
The return of the Yellow Vests
Past the joke, the warning is critical. As a result of, greater than anybody else, the French bosses of the three fundamental vitality corporations know the way a lot the will increase in fuel, electrical energy and gasoline costs will weigh on the financial system basically and on households specifically.
To the purpose of upsetting riots and endangering “our social cohesion”.
Let’s bear in mind the Yellow Vests motion. It started in November 2018 following the rise in gasoline costs. Diesel was then at € 1.46 on the pump. At present, the liter of diesel has exceeded each € 2. It’s introduced to be near 2.50 € in just a few weeks. The will increase might be comparable for electrical energy and fuel. At these costs, who will be capable to drive to work? How will we be capable to warmth our houses?
At the start of the Yellow Vests disaster, in November 2018, we defined that there have been practically 10 million working poor in France and an actual divide between the France of the rich and the France of the beggars.
On the time, we wrote “The Yellow Vests? These are the French who can’t take it anymore. These low-income earners, these poor folks, these pensioners and these staff who earn lower than €1,000 per thirty days and who’re struggling to make ends meet, to pay for ever dearer gasoline, ever greater rents, insurance coverage and every part else that’s inexorably growing whereas wages stay depressing.”
The struggle in Ukraine
4 years and two elections later, nothing, or nearly nothing, has modified. Macron has remained within the Élysée Palace.
The Meeting has been full of deputies from the far proper and the far left. However a majority of French folks have shunned the poll field to indicate that they not imagine in these blustering and ineffective politicians. It’s ineffective to remind that what will not be stated within the poll bins, is alleged on the street.
The Russian-Ukrainian struggle has modified the state of affairs. Everybody remembers the boasts of the Minister of Economic system, Bruno Le Maire, on March 14, 2022, after a brand new spherical of sanctions from Russia: “We’ll trigger the collapse of the Russian financial system.” Three months later, we see the place the Russian financial system and the French financial system stand. Vladimir Putin have to be laughing.
“An financial hurricane is coming”
Causes to fret are additionally coming from overseas. As we printed on June 14, Jamie Dimon, the top of the most important American financial institution, JPMorgan Chase, warns “an financial hurricane is coming“.
He denounces the adverse results of the pandemic and the struggle in Ukraine, but additionally an irresponsible and felony coverage of the Federal Reserve and Congress “who know that an financial and monetary tsunami is within the making.”
One other warning, newer, is that of Magdalena Martullo-Blocher, the boss of EMS Chemie and vice-president of the SVP, the primary Swiss celebration. Within the German press, she expressed concern in regards to the affect of sanctions towards Russia in Europe and Switzerland.
What does she say? That it’s vital to barter, shortly, with Putin on fuel deliveries and peace in Ukraine. That is an obligation for European leaders, if they don’t need to drag with them “the entire continent into the abyss of a serious vitality disaster, inflicting in flip a huge financial, monetary and social disaster, the results of which nobody, to today, can foresee.
All the symptoms are purple. Autumn might be sizzling, very, extremely popular!