EU harmonizes energy policy stance in response to high energy prices

A special meeting of EU energy ministers was held in Brussels, Belgium on the 9th. The energy ministers of the 27 EU member states agreed to put in place emergency measures as soon as possible to ease rising energy prices.

Since the outbreak of the Ukraine crisis, affected by the backlash effect of EU sanctions on Russia, European energy supply has been tight, and electricity and natural gas prices have soared, which has caused considerable pressure on European inflation and the EU economy.

Czech Industry and Trade Minister Josef Sikla, who holds the rotating EU presidency, said at a press conference that day that the meeting reached an agreement on a common direction for emergency measures. The European Commission will make strong and practical recommendations within a few days, doing everything it can to help people and businesses facing high energy prices.

The extreme weather this summer has exacerbated the imbalance between energy supply and demand, European Commissioner in charge of energy Kadri Simsson told a news conference. Hydropower and nuclear power production and energy supply in some member states have been affected, and households and businesses need further assistance and protection.

It is reported that the emergency measures proposed by the European Commission include: coordinating EU member states to reduce electricity demand; capping the income of low-cost power generation companies and taxing the profits of fossil fuel power generation companies; formulating emergency and temporary intervention measures, including considering natural gas. Set price caps, etc.

The European Commission had previously proposed to only set a price ceiling on natural gas exported from Russia, and EU member states were quite divided on this. Some member states are concerned that the measure will further affect Russia's gas supplies to Europe, and some say it will not help calm rising gas prices.

The European Commission is expected to publish details of the proposed emergency measures next week for discussion by member state governments. EU energy ministers will meet again to negotiate and approve the final version.