Despite Growing Pressure, the EU Is Unlikely to Enact a Gas Price Cap

MIN READSep 30, 2022 | 19:10 GMT

A gas compressor station is pictured on the grounds of the Baltic Pipe gas pipeline prior to its opening ceremony on Sept. 27, 2022, near Goleniow, Poland.

A compressor station is pictured on the grounds of the Baltic Pipe near Goleniow, Poland, prior to the gas pipeline's opening ceremony on Sept. 27, 2022.

(STRINGER/AFP via Getty Images)

Despite growing pressure from some member states, the European Union is unlikely to implement a natural gas price cap anytime soon, which means that highly exposed, poorer European countries will continue to struggle to secure supplies and shield citizens from high energy prices. Ministers from 15 EU member states including France, Italy, Spain, Poland and Belgium have signed a letter calling on the European Commission to put forward a proposal for a bloc-wide price cap on natural gas at the meeting of EU energy ministers on Sept. 30. However, member states including Germany, Denmark, the Netherlands and Hungary are skeptical of the idea, arguing it could jeopardize supply as EU buyers have to compete with other regions of the world for limited LNG cargoes on the global market. Countries remained split at an informal meeting of EU diplomats on Sept. 28, where the European Commission was supposed to present an...

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