The European Commission calls for a cap on the price of Russian natural gas
European Commission President Ursula von der Leyen said today that the European Union needs to impose a cap on the price of gas on Russian pipelines.
According to the head of the European Commission, such a price cap would run counter to President Vladimir Putin’s attempts to manipulate the European energy market, Reuters mentioned.
“I firmly believe that now is the time for a price cap on the Russian pipeline to Europe,” von der Leyen said, adding that “a gas price cap could be proposed at the European level, and there is also a legal basis at the European level to temporarily skim profits as an emergency measure.” in a time of crisis.”
The idea of taxing the profits of energy companies in Europe has gained traction in recent weeks.
Gas flows from Russia to Europe have been significantly reduced over the past two months, with Russia explaining the reduction with technical problems, notably the lack of enough turbines for compressor stations along the way.
The European Union responded with allegations that Russia is using gas as an energy weapon against Europe.
Currently, the largest Russian gas channel to Europe, Nord Stream 1, operates at 20% capacity. The pipeline was shut down this week for a three-day maintenance round, and is scheduled to restart in the early hours of Saturday, again at 20% capacity.
Von der Leyen’s call for a cap on the price of gas comes as the Group of Seven debates capping Russian oil exports in a bid to curb Moscow’s oil revenues, which the group says will force it to end the war in Ukraine.
Moscow, meanwhile, announce It will stop selling oil to countries that have applied the oil price ceiling
Kremlin spokesman Dmitry Peskov said today that companies that impose a price ceiling will not be among the recipients of Russian oil.
By Irina Slough for Oilprice.com
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