Nothing happened for a long time, but now the EU seems to be aware of the dramatic situation, the first plans are on the table and a special meeting in Brussels is imminent. Energy prices are rising and rising, and the heating season hasn’t even started yet.
It took some time, but by now the European Commission and the Member States should realize that the situation is indeed serious. Political games, including mutual accusations – several countries accuse the Commission of inaction, Brussels in turn complains that not everyone has an interest in a common approach – have not really helped in recent weeks.
Moreover, no one can estimate whether and how much gas the Russian president and warmonger Vladimir Putin will continue to supply to Europe. Energy ministers will meet on Friday for a special meeting in Brussels.
Informal paper sums up first ideas
An informal draft, a so-called non-paper, available to the “Krone” lists the first ideas on how to respond to high electricity prices through market intervention. For example, “coordinated measures to reduce electricity demand” are proposed. The Commission could set concrete savings targets, either as a recommendation or as a requirement for Member States.
The second recommendation is much more complicated and also rather vaguely formulated: a price ceiling for electricity not generated by gas. The operators of wind, solar, coal and nuclear power plants would have to pay the money earned above this price cap to the state. If the profits were skimmed off, governments could specifically support socially disadvantaged households, in the form of subsidized social tariffs for electricity or through direct support payments. There is no mention of a possible price cap in the informal newspaper.
Time for action as a big question mark
The great unknown in European plans is time, Brussels is not exactly known for acting quickly. But Commission President Ursula von der Leyen, who has been heavily criticized on several occasions, is now stepping up the pace: “We need an emergency instrument that can act more quickly. We’re talking weeks.”
At the same time, German Economy Minister Robert Habeck warned of caution: “We are doing things here that would normally require two legislative periods.” However, the Brussels officials also make it clear in their newspaper that time is short: “Energy prices are expected to remain flat for the rest of the year from 2022 and remain high until 2024/2025.”
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
