Belgium will take the lead in pushing for gas price caps in Europe

EU countries have spent billions of euros on tax cuts and subsidies to ease rising energy costs. However, with gas price increased to a record level after Russia’s military attack on Ukraine, countries are looking for more options.

“When the market doesn’t work, we have to intervene, for example to limit the price gas“, Belgian Prime Minister Alexander de Croo said during a joint press conference with Spanish Prime Minister Pedro Sanchez on March 21.

Belgian Energy Minister Tinne Van der Straeten said the country was “in the forefront of Europe” on the proposed price cap, combined with the joint purchase of gas between EU countries, and both ideas were accepted. support from Spain.

Spain and Portugal said last week that they had proposed to impose a ceiling on electricity prices of 180 euros/MWh. However, a source at Spain’s Energy Ministry said on March 21 that the ceiling was not the main proposal of the country before the meeting of EU leaders. Instead, Spain will favor the idea of ​​separating the cost of electricity from the price of gas. Gas price High growth is the main reason for the increase in electricity costs.

Smoke rises at a combined cycle gas turbine power plant in Drogenbos, Belgium, April 27, 2021. (Photo: AP)

Russia is Europe’s top gas supplier, supplying 40% of the EU’s gas. Russia’s special military campaign in Ukraine has prompted the European Commission to plan to end the EU’s dependence on Russian gas in the next few years by increasing imports from elsewhere, expanding and pushing strong use of renewable energy.

Meanwhile, Belgium will propose additional options for countries to deal with high energy prices ahead of the EU leaders’ summit in Brussels on March 24-25.

The plans, under a series of initial options announced by the EU in October 2021, are expected to include financial support for vulnerable consumers, as well as measures to intervene. market intervention, a move opposed by a number of countries including Germany and the Netherlands, which warn of disrupting energy markets and possibly denting investments in clean energy.

* Invite readers to watch programs broadcast by Vietnam Television on TV Online and VTVGo!