Europe would sink together if it set very low gas purchase prices. Then nobody would sell that gas to Europe, and in case of a cold winter, the industry in Europe would come to an end.
"PRAGUE -- European leaders failed to reach agreement on how to cut natural-gas prices that have soared due to sanctions on Russia, but said they would continue negotiations with the hope of striking a deal when they meet again later this month.
Italy and several other countries squared off against Germany at a summit in Prague on Friday, in a spat that mirrors clashes from past crises. Heavily indebted countries fear that their wealthier neighbors will gain an unfair edge by supporting their businesses and consumers.
At the center of the battle is frustration from governments who say their calls for a European Union-wide limit on gas prices have until recently been sidelined, even as wealthier countries such as Germany and France have announced big spending plans at home to cushion businesses and consumers from soaring energy prices. Sanctions on Russia have sent gas prices soaring across the EU, causing factories to shut down and fueling expectations that the bloc is heading into a recession.
"Our common ambition is to reduce energy prices," European Council President Charles Michel said after the summit ended. He said Friday's gathering was meant as a forum for leaders to express their priorities, with decisions on next steps to be taken at another summit in two weeks.
One area of convergence appeared to be a growing interest from member countries in working together to negotiate better prices for gas, some officials said, an approach the EU has previously suggested as a way to boost its collective bargaining power and avoid having countries bid against each other.
German Chancellor Olaf Scholz pushed EU leaders on Friday to work with buyers in Asia and suppliers such as the U.S. and Norway to find a sustainable, longer-term way to drive down prices, according to German officials. Those plans received support from French President Emmanuel Macron, who said it should be one part of a package of measures in which Paris wants to include an EU financial contribution.
France and Italy are among several countries that are calling for common EU money to be spent to help support a coordinated response to the energy crisis and help avoid a situation where some countries end up sharply outspending others.
Last week, Germany announced an energy relief package valued at up to 200 billion euros, equivalent to around $196 billion, that includes price limits on gas and electricity, in a sign of the fiscal firepower Berlin can muster to shore up its economy. The plan sparked a backlash from some European leaders, in part because Berlin has resisted calls for a broader cap on wholesale gas prices and pushed back on calls for common borrowing.
Polish Prime Minister Mateusz Morawiecki, who has called for a gas-price cap, said ahead of the summit on Friday that he expected Germany to act in solidarity with other EU members in confronting the crisis. The bloc needs to be able to agree on a common denominator, Mr. Morawiecki said, "and not this denominator which is suitable only to one country."
Dutch Prime Minister Mark Rutte said he believes Germany's plan is "perfectly legitimate."
The European Commission, the bloc's executive arm, is trying to find a compromise among member countries. After the summit on Friday, President Ursula von der Leyen said the commission would push forward with efforts to coordinate gas purchases and would continue to look at options for limiting energy prices. The commission also will look at additional EU funding for investments in energy infrastructure and efficiency, she said.
Italy and three other countries circulated a proposal Thursday for a so-called price corridor that they said could set limits on gas prices and fluctuate depending on global prices to ensure the bloc can keep attracting supplies." [1]
1. World News: EU Leaders Fail to Reach Accord to Curb Gas Costs
Kim Mackrael; Norman, Laurence.
Wall Street Journal, Eastern edition; New York, N.Y. [New York, N.Y]. 08 Oct 2022: A.8.
Komentarų nėra:
Rašyti komentarą