Abandoning Russian energy, the EU risks paying a “permanent” heavy price

EU High Commissioner for Competition Margrethe Vestager told Handelsblatt’s newspaper Virtue on May 25 that European consumers will suffer permanent increases in energy prices as the bloc wants to get rid of energy imports from Russia.

“A significant portion of European industry relies on ultra-cheap energy from Russia, super-cheap Chinese labor and highly subsidized semiconductors from Taiwan,” Ms. Vestager pointed out. .

According to the EU official, Europe understands these risks, and European countries do not accept such dependence.

“Europe has to diversify its trade and accept higher prices… Consumers will ultimately pay for these changes,” she noted.

At the same time, High Commissioner Vestager expressed hope that the EU’s purchase of liquefied natural gas could help limit some of the increase in energy prices.

The European Union wants to reduce its dependence on fossil fuels Russia as fast as possible. However, many EU countries are heavily dependent on Russian energy supplies, and some have refused to agree to the Russian oil embargo.

Russia provides about 40% of the total gas used by EU countries and provides about a third of the bloc’s oil needs.