PARIS, June 15 (Reuters) - The Council of State, France’s highest administrative court, on Wednesday annulled a government decision limiting a 2014 power tariff increase to 2.5 percent and ordered the government to set a retroactive tariff increase.
The Council ruling, in line with recommendations in a preliminary report released last month, follows a complaint by the ANODE association of energy retailers against the Nov. 2014 increase in regulated power rates. Smaller rivals of utility EDF say that increase was too low to allow them to compete against the market leader.
The government will have to issue within three months a decree specifying catch-up payments, the Council said in a statement.
French governments from the right and the left have over the years prevented EDF from raising tariffs in order to protect consumer purchasing power. (Reporting by Geert De Clercq, Editing by Dominique Vidalon)