EU weighs temporary gas price cap to counter diverging costs with US

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Brussels weighs new forces, which will temporarily become EU gas prices, which have recently recorded record levels compared to the United States.

European gas prices are rising with the highest rate For more than two years This week, partly due to low temperature and wind lack, which prevents renewable energy production. They are three to four times higher than in the United States, providing European companies critical disabilities.

The European Commission discusses a part of the discussions on the Clean Industrial Transaction Document, which will be presented next month, said three people about negotiations.

The strategy newspaper should outline the heavy industries of the EU, as the business is engaged in many challenges, including US President Donald Trump, and the EU’s own ambitious green transition.

Negotiations on price mechanisms, although they are in early stages, were formed from industry groups, which warn against the damage to “trust” in the European market.

Eleven groups, including Europe, European Energy Exchange Association and AFME, have sent a letter to the Commission President Ursula von Ter Leyen on Tuesday. “We believe that this measure can be resigned if it is announced to resist the stability and supply security of European energy markets on the continent.”

The gas price cover will “damage” the main price of gas prices at the European Benmarked Transfete Facility, the letter is said. It “suggests that the global gas community will move to other, unlimited and more representative reference prices, which are mainly outside the EU.”

The EU first offered such a hat in 2022 on the height of the bloc Energy crisis that Russia’s stable winding was followed by gas supply to its European neighbors as a result of the whole scale Invasion of UkraineA variety of lid was never accepted because prices left 180 euros from the benchmark of Megawatt-Hount.

Building this experience, former president of the former Central Bank Mario Drishi called on the commission to have “dynamic hats” situations when the EU’s gas prices deviate from global energy prices.

“We are studying the proposals of the dragi in detail about this special issue,” the EU official said.

High-ranking bloc officials said that the plans will also include measures to prevent gas prices in summer, as European countries keep fuel in the next winter.

One EU diplomat noted that some member states are likely to be “reluctant” to have a price hat. Germany and the Netherlands were among the countries opposed to the previous hat.

The commission refused to comment.

Any intervention can also disrupt the efforts of the Alliance to overcome Trump’s tariff insults, as long as the EU does not buy more liquefied natural gas from the United States.

“In Europe, the emphasis should be able to achieve enough energy to use their industries and heat their homes,” said the Eurasia Senior Secretary of State Amund Vik and the former Norwegian Secretary of Norwegian.

“Correcting a large market price cap is not going to solve it when the underlying problem is the lack of energy.”