As long as the conflict in the Middle East continues, TotalEnergies will continue to cap fuel prices at its stations. This is what CEO Patrick Pouyanné reaffirmed on Saturday on France Inter, Le Monde, and France Télévisions.
Launched in July after being introduced in the context of the Middle East war, the mechanism sets the maximum price per liter of gasoline at €1.99 and diesel at €2.25 at TotalEnergies stations in metropolitan France.
The group is the only one among the major oil companies to have adopted such a measure, according to its chief.
A protection that takes on its full meaning as prices remain high at the pump: as of August 29, the SP95-E10 averaged €2.035 per liter in France, diesel at €2.219 and SP98 at €2.129, according to an average based on government data.
Up to €300 million for TotalEnergies
This commercial policy nevertheless represents a substantial bill for the group. Patrick Pouyanné now estimates its cost at between €250 and €300 million, while noting that there is no exact tally. The cap has also attracted more motorists to TotalEnergies stations. The CEO acknowledges that the group’s market share has slightly increased, estimating it now stands at around 25%, compared with 22% normally. He nevertheless asserts that this influx does not constitute a financial gain since the fuel is sold below the international price.
The executive also warns that any potential targeted tax on the profits of energy groups could change the situation: in the event of a new tax of this kind, Pouyanné assures that TotalEnergies will “draw lessons” and will abandon price caps in the future.
