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Sheikh Qassem: Our supporters make up more than half of Lebanon's population, and all of these people are united under the banner of protecting Lebanon, its Resistance, its people, and its integrity.
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EU Commission planning measures to reduce energy costs

  • By Al Mayadeen English
  • Source: Agencies
  • 13 Sep 2022 20:52
3 Min Read

This week, the EU Commission meets to discuss several key topics, which include "emergency energy measures" among others.

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  • Wagons wait beside oil tanks in Wesseling, near Cologne, Germany, on April 6, 2022 (AP Photo/Martin Meissner, File)
    Wagons wait beside oil tanks in Wesseling, near Cologne, Germany, on April 6, 2022 (AP Photo/Martin Meissner, File)

The European Commission will propose on Wednesday a number of measures in the energy sector, the price limit for the purchase of Russian pipeline gas requires further study, European Commissioner for Energy Kadri Simson said at a plenary session of the European Parliament.    

"Tomorrow we will be bringing forward a proposal," she said.   

Simson named the measures that will be contained in this proposal. These included setting a mandatory peak-hour electricity consumption target, revenue caps for low-cost electricity companies, and contributions from oil, gas and coal companies that are also making "huge windfall profits" amid high prices, she said.

This week, the #vdLCommission meets to discuss:

🔹 Emergency energy measures
🔹 Ban on products made using forced labour
🔹 #SingleMarket emergency instrument
🔹 European Cyber Resilience Act
🔹 European Media Freedom Act pic.twitter.com/DhYEPcuWCX

— European Commission 🇪🇺 (@EU_Commission) September 13, 2022

Read more: European market in hardship until energy deficit is figured out

The energy crisis in Europe was already going on prior to the imposition of a price cap on Russian gas, and further worsened since. 

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Although members of the G7 and the EU maintain their commitment to "punish" Russia, it is well clear that the harmful effects of these measures have backfired on their originators. 

Experts have already predicted things to worsen the moment the cap was agreed upon, ranging from hitting Western investors whose assets were frozen in Russia, to increasing the cost of labor for the average worker to cover living expenses. 

Earlier today, it was reported that a leaked document revealed the EU executive is reconsidering slapping a price restriction on Russian gas while pushing ahead with windfall taxes on energy business "surplus" earnings.

After member states were unable to agree on limits last week, The Guardian obtained a draft regulation on the "electricity emergency tool" that does not include a price ceiling on Russian or imported gas. The EU is anticipated to slap windfall taxes on fossil fuel corporations' large profits, with a separate cap on revenues of low-carbon electricity generators.

When she delivers her annual state of the union statement on Wednesday, EU Commission President Ursula von der Leyen is likely to announce Europe's plan for coping with rising electricity prices.

The final text is still subject to modification, but the draft reflects the Commission's concerns about garnering enough support from EU member states for its preferred option of restricting Russian gas in response to what it has dubbed the Kremlin's weaponization of supplies.

Read more: US worried EU resolve on Ukraine diminishes over energy crisis - CNN

  • EU Commission
  • Energy crisis
  • European Union

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