Small businesses in France bears brunt of energy crisis

In the Oise department, soaring energy prices driven by the war in Iran are hitting rural businesses hard, as they face rocketing bills for heating oil and diesel.

France’s rural communities are feeling the full force of the global energy crisis sparked by the war in Iran. Almost 21 million people — nearly a third of the French population — live in the countryside, which covers around 90% of the country’s landmass.

In Saint-Just-en-Chaussée, a town of around 6,000 people in the northern Oise department, rising energy prices are being felt even in the local bakery.

Kevin Luce bakes his bread in two heating oil-fired ovens — a fuel that was once cost-effective but has become increasingly expensive. “At the outset it was a good deal: an oil-fired oven was cheaper to run than an electric one, until the price went up by 50%,” he said.

His last delivery, two days ago, came to 2,200 euros for 1,200 litres. Six months earlier, he had paid 2,100 euros for 2,000 litres. The difference is being absorbed directly by the business.

“All this excessive spending on energy is money we are losing. It’s wages we can’t take, pay rises we can’t give our employees, investments we can’t make,” Luce said.

Small businesses forced to cut back

Food truck owner Martial Realland has taken a different approach — he has stopped refilling his oil tank altogether. “Last year I had 1,500 litres delivered. It cost me 1,600 euros. Now, at 1.80 or 1.90 euros a litre, it’s almost double. So I’m not getting any delivered,” he said.

Realland has also begun turning down jobs that involve long distances. “Ever since I was born there have always been crises. But this is no longer bearable,” he said.

The surge in energy costs is reviving memories of the gilets jaunes movement, which erupted in autumn 2018 after a rise in fuel taxes. The protest gained its strongest momentum in rural and outer-suburban areas — the same communities now bearing the heaviest burden of the current crisis.

Source: www.euronews.com