EU ministers to converge on the positions of gas price cap

European Union ministers in charge of energy were due to meet on Tuesday in Brussels in a fresh attempt to agree on limiting the price of gas.

The European Commission in November had proposed capping the price of gas traded on the Dutch reference hub Title Transfer Facility (TTF).

The cap would take effect automatically on the month-ahead price of gas if the TTF-traded price exceeds €275 ($289.3) per megawatt hour for two weeks and the difference between TTF-traded gas and global liquefied natural gas (LNG) prices is €58 or higher.

The strict conditions that made it uncertain if the measure would ever be applied lefts many EU countries unsatisfied.

A majority of member states had been repeatedly calling for an intervention in gas prices, while some countries including Germany and the Netherlands remained sceptical.

However, whether Tuesday’s meeting would bring a breakthrough remained uncertain.

The Czech Republic, which currently chaired the meetings of EU ministers as holder of the rotating EU presidency, tabled a compromise proposal with a lower threshold in spite of some countries being against more flexible conditions to trigger the price cap.

Meanwhile, other proposals currently blocked by EU energy ministers included quicker permit procedures for some renewable energy projects as well as measures to strengthen solidarity between EU countries including joint gas purchases.