No agreement of the 27 on the price of gas? The countries of the European Union were trying, Thursday, November 24, to agree on Commission proposals to counter soaring energy prices, but the agreement was threatened, in the middle of the day, by a revolt against the plan to cap gas prices deemed insufficient.
Meeting in Brussels, the energy ministers of the European Union must decide on a text strengthening the solidarity of the European bloc. It provides for group purchases of gas, a mechanism guaranteeing that any country threatened with a shortage will receive gas from other Member States, and “circuit breakers” to limit the volatility of hydrocarbon prices on the markets.
A second text on the table, also prepared by the Commission, aims, for a period of one year, to simplify and speed up authorizations for the installation of heat pumps and solar panels, with a view to boosting the production of “green” electricity. These two texts, intended to apply as soon as the Member States give the green light, are consensual.
Price capped for one year
But a deal is jeopardized by another Commission proposal to cap gas prices, which has sparked outcry. This device, unveiled on Tuesday, would consist of capping for one year the prices of monthly contracts on the TTF reference gas market as soon as they exceed 275 euros / MWh for two consecutive weeks, among other conditions, which has never happened. , even at the height of the price spike last August.
“At this level, it is not a ceiling! These prices threaten households and businesses, we have wasted too much time without results”fumed Greek Minister Konstantinos Skrekas on his arrival, saying that any agreement on solidarity and joint purchasing measures would be conditional on an effective price cap.
“It’s a joke! It’s -10 degrees here, we don’t want to continue talking about solidarity or renewables, we need to discuss a gas price cap now” and get a new text from the EU executive “in the next few days”wished his Polish counterpart Anna Moskwa.
An “unenforceable and ineffective” mechanism?
Spanish Minister Teresa Ribera slammed the Commission’s proposal “unenforceable and ineffective” to cap prices, emphasizing “the great concern of a large majority of Member States” on this subject. “It is important to reach an agreement on all the files at the same time (…) I do not think it is possible today”said his Belgian counterpart Tinne van der Straeten.
Considering that the proposed ceiling is “insufficient” and “certainly not a response to soaring prices” which threatens European industry, the French Minister Agnès Pannier-Runacher has however called for the other texts to be approved on Thursday. “We must not mix everything and move forward where we can”she pleaded.