Between electricity and gas … sharp disagreements in the European Union due to the energy crisis
On Friday, differences resurfaced among European Union leaders over setting gas price ceilings and country-by-country bailout packages.
Poland Germany is “selfish” in its approach to the expected winter energy crisis caused by Russia’s war in Ukraine.
Most EU countries are demanding that Brussels propose a gas price ceiling, but the details are at the center of the dispute as some capitals seek to set a comprehensive ceiling for all gas trade transactions and import contracts, while others prefer to set a ceiling. only for the electricity sector.
The gas price ceiling is one of a number of proposals and initiatives presented by European countries to cope with the reduction in gas supplies from Russia, which provided 40 percent of Europe’s needs, as well as huge price increases.
Although gas prices have fallen from their peak this year, they are still more than two hundred percent higher than they were at the beginning of September last year.
Germany, Denmark and the Netherlands are opposing price ceilings, fearing that it will prevent them from buying the gas their economies need and reduce the impact of any incentive to cut consumption.
Czech Prime Minister Petr Fiala spoke specifically about capping the price of gas used to generate electricity, while his Latvian counterpart Krisjans Karins said the cap would be “great” if the bloc could guarantee supplies from producers.
Luxembourg Prime Minister Xavier Bettel has warned that the EU must be careful not to undermine its position in world markets by keeping sellers away from it by imposing an unattractive ceiling because “maybe (at the time) we will have a price ceiling, but we he is not.” I have the ability.”
European Council President Charles Michel, who chairs the summit, said no decisions were expected on Friday, but he hoped discussions between the leaders would lead to an agreement when they met on October 20-21.
Polish Prime Minister Mateusz Morawiecki has criticized Germany for what he sees as lavish spending of 200 billion euros ($196 billion) in subsidies to protect consumers and businesses from rising energy prices.
“German selfishness needs to be abandoned,” he said, reiterating concerns about the financial gap between rich countries that can spend huge amounts of money on domestic support and those that cannot.