The French government will release 10mn bl of diesel from strategic reserves between November and January, it said, becoming the first country to detail its commitment under the recent G7 plan.
The government will sell its diesel at its "book value" of €0.28/l, and it expects the consequent reduction in distributors' supply costs to be passed on to consumer. It expects a national average pump price drop of €0.12-0.18/l, and said the country's main distributors have committed to this.
"The objective is to support the purchasing power of motorists during the winter period, particularly French people who use their vehicle daily for work," the government said.
The release works out at about 110,000 b/d over the three months, or about 20pc of French road diesel demand. It accounts for 10pc of the 100mn bl release announced by the G7 on 2 October.
The IEA said on Wednesday that its member governments backed prioritising diesel stocks releases as part of that wider commitment, which appears to conclude the programme first announced in March.
French distributors will have up to a year to replenish the strategic stocks, said prime minister Sebastien Lecornu. The measure buys the nation time to reduce its dependence, which leaves it exposed to global crises and decisions taken elsewhere, Lecornu said, adding that this is why the government has launched its electrification plan.
