Energy prices split EU: Visegrad states and Italy want new carbon price delayed
EU leaders discussed relief from high gas and fuel prices ahead of winter in Brussels. Positions on the ETS2 carbon market are entrenched – the energy conclusions hang in the balance.
Archive image · Photo: Christophe Licoppe / European Union, 2022 / EC - Audiovisual Service / Wikimedia Commons, CC BY 4.0 (cropped and resized)
High energy prices were one of the main topics on the first day of the EU summit in Brussels. The European TTF gas benchmark stands at around €85 to €87 per megawatt hour – nearly triple its level before the war against Iran. Commission President Ursula von der Leyen outlined options including temporary state aid for heavy industry, measures on refinery capacity and voluntary demand bundling. Greece and Finland called for short-term measures to bring prices down.
The future of the new emissions trading system for road fuels and heating in buildings (ETS2) is particularly contentious. The Visegrad countries Poland, the Czech Republic, Slovakia and Hungary, backed by Italy, want it delayed to 2030. According to TVP World, Italy and Greece also back a push to lower electricity costs. Several diplomats expect the call for a delay to fail, as it would not get the required unanimity. On the energy conclusions as a whole, Italy and Sweden are on opposing sides, according to diplomats.
According to Euronews, the summit risks ending without agreed conclusions on energy. European Council President António Costa proposed changes to the draft conclusions after the debate, Anadolu Agency reported. Leaders stressed the need for "short-term measures to mitigate the immediate effect of price spikes," as pressure could intensify in winter. Some leaders also called for a review of the design of the EU electricity market.