The EU has published proposals today to cut the cost of and save energy, which include limiting profits, help for families and businesses and the reduction of energy consumption at peak times.
The proposals described, as short term and urgent, have been published 48 hours before EU leaders are due to meet to discuss the spiralling energy prices and the prospect of Russia closing the tap on gas to the EU.
The EU wants to separate this packet of urgent measures from the reform of the energy market, which they would prefer takes place in early 2023, and which would include uncoupling the price of electricity to the price of gas.
Among the proposals are, firstly an “obligatory objective” to reduce the use of electricity at peak times.
Secondly, imposing a ceiling on the profits of the energy companies, which produce energy at low cost ie. with renewables.
The statement says: “The sources of energy, which contaminate less, are generating unexpected profits which do not reflect the cost of production. Now is the moment for consumers to benefit from these low costs. These profits should be channelled to help vulnerable people and businesses.”
Thirdly, the statement affirms that petrol and gas companies producing electricity from fossil fuels, which had also obtained massive profits, should pay a “solidarity contribution”.
Fourthly, a proposal to limit the Russian gas in the EU, which, says the EU commission, is being used to finance the war in Ukraine.
The meeting of EU leaders to discuss these proposals will be on September 9,
