Kadri Simson, the European Commissioner for Energy, stated that the question now facing EU authorities is how to ensure competitiveness and promote industry. According to Ms. Simson speaking during a conference in Abu Dhabi, gas costs in Europe have now dropped to levels that European business must withstand from January 2022.

It has been necessary to save it in Europe due to the global gas scarcity. « It might harm business… This is why we’re urging them to cut back on their heating costs so they can keep their employment, » said the commissioner. She claims that the amount of gas consumed has fallen by 20% since August 2022.

The price cap, in Kadri Simson’s opinion, is effective because gas costs have already fallen to €62 per MWh. According to Ms. Simson, « I believe this price level is sustainable for our industry. » The European Commissioner mentioned that Japan and Korea switched their LNG supplies to Europe in the spring of 2022 when discussing how Europe would handle a gas shortage if the upcoming winter was very harsh.

Kadri Simson stated, « I am aware that our Asian partners are considering switching to alternative fuels, which could supply the market with LNG that they will not use. » She added that memoranda with Egypt and Israel have been inked for the future.

source: reuters.com