EU may impose gas price caps as prices hit record highs - FT
The European Union is considering introducing a temporary limit on gas prices due to their record growth compared to the United States.
This is reported by the Financial Times, Censor.NET informs.
It is noted that gas in Europe is currently three to four times more expensive than in the United States, which puts serious pressure on European companies.
According to the publication, the European Commission is considering the introduction of a limit as part of a new strategic document to support the EU's heavy industry. The document will contain measures to help companies facing the energy crisis and competition from the US and China.
Although the negotiations on price capping mechanisms are at an early stage, the initiative has already provoked a reaction from industry groups that warn against the possible undermining of "trust" in the market.
Earlier, the EU proposed a similar limit in 2022, but the restriction was not applied because prices did not exceed 180 euros per megawatt-hour.
In addition, according to two senior EU officials, the Union is considering mechanisms to prevent summer price increases when EU countries actively stockpile gas before winter.
However, the initiative may face resistance from some member states, such as Germany and the Netherlands, which have previously opposed such restrictions.
"Europe should focus on acquiring enough energy to run its industries and heat homes. Setting price caps in the wholesale market will not solve this problem when the main problem is a lack of energy," said Amund Vik, former Norwegian Secretary of State for Energy.
