[ad_1]
Europe should cap gas prices at a level that is “high and flexible enough to allow Europe to attract the required resources”, Belgium, Greece, Poland and Italy said in a note explaining their proposal, seen by Reuters late on Thursday.
But the EU Commission President, Ursula von der Leyen, has so far ignored the call, publishing instead a policy paper encouraging member states to consume less and negotiate supply contracts with other partners such as Norway and Algeria.
Opponents to the price cap include Germany and the Netherlands, who say capping gas prices could leave countries struggling to attract supplies, if they cannot compete with buyers in price-competitive global markets for gas cargoes this winter.
A diplomat from one EU country said the idea had “significant weaknesses and risks to security of supply” as Europe heads into a winter with scarce energy to spare, after Russia has slashed gas flows to Europe in retaliation for Western sanctions against Moscow for invading Ukraine.
The European Commission has also raised doubts, and suggested the EU instead move ahead with more limited versions of a price cap.
READ MORE: Mass mobilisation is ‘backfiring on Putin in spectacular fashion’
[ad_2]
