Energy crisis: New effort by the 27 EU to lift the deadlock on the natural gas ceiling

How, when and if and to what extent it will be enforced ceiling at his price natural gas on a European scale it will dominate yet another council of energy ministers her The European Unionwho want a joint plan to bring down high energy prices but have been unable to reach a compromise for weeks now.

The 27 will consider next moves to tame prices and protect consumers from bill take-offs, as Europe is heading into a winter with scant amounts of gas from Russiacrisis due to the increase in the cost of living, the threat of recession to hang.

“We need to find a solution quickly, applicable throughout the European Union” summarized a European Union official. “National solutions are not the way forward,” he warned.

The energy ministers meeting today in Prague they will try to come up with some clear instructions on what the European Commission should propose to the European Council as part of EU measures to address the issue.

But the 27 can’t seem to agree on exactly what they want.

With gas prices nearly 90% above where they were a year ago, most governments say they want ceilingbut disagree about its design and scope. Some countries, such as Germany, the EU’s biggest gas market, remain opposed to the idea.

Last week’s Summit, as APE-MPE reminds, did not clarify much what the next steps are. The talks “moved in all directions” a European diplomatic img said – ceilings were proposed on the price of gas in general, of gas transported through pipelines, of gas used to generate electricity.

Another diplomatic img pointed out that there was no sign of “unity” at the Summit. “I would say expectations are low,” he added ahead of today’s council.

Others expressed hope that a consensus was beginning to emerge. According to an official, several countries are leaning towards it “Iberian model”, the imposition of a ceiling on the gas used to produce electricity; for starters.

Spain and Portugal implemented this scheme in June, managing to reduce electricity prices in their markets. The idea is gaining supporters, but some countries are concerned that it will increase demand, as found in Spain after it was implemented.

EU member countries have been quick to implement the withholding of part of the surplus profits of electricity producers in favor of consumers, as well as the joint imposition of restrictions on the consumption of electricity and natural gas.

But pressure to adopt EU-wide measures is intensifying, especially after Germany announced it would spend up to €200 billion to protect its consumers and businesses from high energy costs, which upset other governments as support measures prove to be very uneven from country to country.