For some countries, the gas price cap that the EU is striving for is simply too high and therefore ineffective. Others question the measure in general. Accordingly, the energy ministers of the EU states are adjourning again – and are now hoping for an agreement in December.
Despite a compromise proposal from the EU Commission, the EU states are still arguing about a price limit for gas purchases. “It was a heated debate,” admitted Czech Minister Jozef Sikela, who chairs the energy ministers, after the special conference in Brussels. However, the open discussion is the starting point for a new attempt at agreement at the next meeting on December 13th.
Even before the start of the meeting, it had become clear that an agreement on a price cap was not to be expected. However, the states initially agreed to find a new reference value for the price, which has so far been defined on the Amsterdam Stock Exchange (TTF). However, the states have finally agreed on joint gas purchasing and simplifications for the expansion of renewable energy.
The Commission had proposed a cap on increases in wholesale gas prices. This should only take effect under strict conditions – if the price on the European gas exchange in the Netherlands (TTF) is higher than 275 euros per megawatt hour for two weeks. At the same time, the price must be at least 58 euros above a global reference price for liquid gas for ten days. The TTF price is currently around 100 euros per megawatt hour. In the summer it was briefly over 300 euros.
A group of 15 countries, led primarily by Spain and France, think the cap is too high and doesn’t think it can work that way. Even before the meeting, Polish Minister Anna Moskwa called this cap a “joke”. A second, smaller group, led by Germany, is generally critical of a lid. “In summary, one can say that everyone is somehow unhappy with the Commission’s proposal,” said the German State Secretary for Economic Affairs, Sven Giegold, at the start.
The group fears that liquefied gas will not even arrive in Europe and gas will have to be rationed in Europe. In addition, this could then lead to distribution battles among the states if there is a gas shortage situation. “We definitely want to avoid that,” said Giegold.
