Ribera criticizes the ideas of Brussels to intervene the gas: “They fall short”

The Third Vice President and Minister of Ecological Transition, Theresa Rivera, was “disappointed” this Friday with the proposals that the European Commission is taking to the meeting of energy ministers that is being held today to try to intervene in the gas market and mitigate its high prices before the energy needs of the continent in the face of winter, considering that “unfortunately” these ideas “fall short of what Europe needs“, assured before participating in the extraordinary meeting.

The meeting has the objective of agreeing on a regulation with three emergency measures (electricity savings, cap on renewables and nuclear power, and solidarity tax), but the Twenty-seven will also debate how to intervene in the gas market, an issue that generates division between the capitals. Fifteen Member States, including Spain, requested in a letter limit the price of all gas importsnot only the Russian ones, but Brussels warned in a document of the dangers that such a decision would cause and believes that countries like Algeria or Norway should not be treated the same as Russia.

Ribera expressed his agreement with this fact, but stressed that “it is not reasonable to look the other way when there are many operations that are being closed at prices that have nothing to do neither with the production costs nor with the prices paid to the supplier”. The third vice president recognized that it is a “sensitive” issue in which the Twenty-seven they can’t find a common point for the momentso he ruled out that this Friday’s meeting ends in principle with a “definitive conclusion” on how to intervene in the gas market.

The TTF will no longer set the benchmark in Europe

On the contrary, he hoped to leave the meeting with a “very clear orientation” on what to do with the gas benchmark that is used in Europe, the TTF Dutch of the Netherlands, which “is no longer responding to the cost of operations and the cost behind the purchase in the gas market”. “The TTF cannot be the one that sets the prices of the contracts in imports or within the European space”, he underlined, since “it is generating enormous distortions” in Europe.

On the other hand, Ribera, who insisted on making decisions jointly and not individually, was sympathetic to the situation in Germanywhich has announced that it will allocate 200,000 million euros in aid to offset the cost of gas, but pointed out that now the Commission will have to analyze it to ensure that it does not create market disruption.

“We have been saying that it is important to take joint measures to avoid the distortion of each one doing what it can. Germany is reacting to a serious problem” because its gas marketers have contracts based on pre-crisis prices that they cannot meet and “would be at risk of bankruptcy“.

“If there may be a risk of generating distortions, it is up to the Commission” to analyze it, he added. The Spanish minister took it for granted that the Twenty-seven will agree on the regulation with temporary and urgent measures to save 10% of electricity consumptiontax the extraordinary profits of the oil companies, put a maximum remuneration on electricity generation with nuclear, renewable and lignite, allowing Spain to preserve the measures similar ones that have been applied for a year. “I trust that we will bring to a close what we have been discussing without any problem,” she said.

Source: LA INFORMACIÓN – Lo último by www.lainformacion.com.

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