Energy crisis: EU outlines possible gas price cap strategies ahead of meeting on Friday
The European Commission has outlined possible strategies to cap gas prices as the bloc faces a looming energy crisis this winter.
Member states are divided over the emergency measures designed to pull down soaring inflation amid Russia's war in Ukraine.
One proposal is a temporary "flexible" limit on gas prices to ensure that Europe can continue to secure enough gas, EU energy commissioner Kadri Simson said on Tuesday.
Another option could be an EU-wide "framework" for a price cap on gas used to generate electricity, which would be combined with measures to ensure gas demand does not rise as a result, she said.
EU leaders are meeting on Friday to debate gas price cap strategies.
Last week, France, Italy, Poland and 12 other EU countries urged the Commission to propose a broader price cap targeting all wholesale gas trade.
But Germany -- Europe's biggest gas buyer -- and the Netherlands are among those opposed.
Russia has slashed gas deliveries to Europe since its February invasion of Ukraine, with Moscow blaming the cuts on Western sanctions imposed in response to the invasion.
Since then, the EU has agreed on emergency laws to fill gas storage and windfall profit levies to raise money to help consumers with bills.
One energy analyst told Euronews that an energy price cap was an "unchartered territory" for the European Union.
The EU's energy sector is largely liberalised and operates under the fundamental rules of supply and demand.
"My impression is that member states are looking at prices and quantities in isolation and that's difficult because of economics," said Elisabetta Cornago, a senior energy researcher at the Centre for European Reform.
"It's hard to picture such a level of market intervention This is uncharted
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