French Government Considers Cap on Fuel Margins

The French government is contemplating a measure to cap the profit margins that retailers can impose on fuel sales to consumers at gas stations.

The Finance Ministry announced in a statement on Tuesday that the proposed mechanism would set a cap for pre-tax prices based on the difference between retail and wholesale prices over a rolling five-day average.

To ensure fairness, the margin must be narrower than the average during January and February of the current year, the statement added. Despite these plans, the government has decided not to implement the mechanism just yet.