Before the EU summit in Brussels, Chancellor Karl Nehammer (ÖVP) criticized the EU Commission’s energy proposals. “The model that Austria wanted is not there,” Nehammer said on Thursday. He still finds the so-called Iberian model for decoupling electricity and gas prices the most interesting. It is now important to find a solution anyway.
Nehammer expects “intensive hours” of deliberation on the energy issue from the summit. In the “Iberian model”, gas would be purchased collectively and made available to the electricity companies. Those companies that can now produce cheaply would also participate, and the financial burden would be shared, Nehammer said. But: “There are major concerns in large countries such as Germany that there is too much intervention in the market.”
“Not having gas is the real problem”
A price ceiling is actually the right measure, but it must not lead to a shortage of supply, for example through sales to Asia, says Nehammer. “Having no gas at all is the real problem. It’s even better to have more expensive gas.” Despite all the contradictions, the top must send a strong signal, “that also depresses the price,” said the chancellor.
According to Nehammer, whether Russian gas will still flow to Austria next year is speculative. It is crucial to prepare in such a way that, even if this is not the case, you can continue to make ends meet and have sufficient gas available for households and industry.
“Joint gas purchasing is definitely a good idea”
According to Nehammer, the Austrian gas storage facilities are full, the storage level is already above 85 percent. “We were able to last more than ten months with the stored gas. But we have to prepare for next winter. I think it is a very good idea to buy gas here together.”
Commission to specify proposals
As for the price corridor proposed by the EU commission, the chancellor said this is actually a variant of a price cap. The Commission has not yet been able to demonstrate that sufficient gas suppliers are still available. “What happens if Europe pays too little and Asia pays more and the gas goes to Asia and we have too little?”
Source: Krone
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