Discussing the ongoing and escalating energy price crisis, the European Summit decided to decide nothing but to postpone any recommendations for instant measures, preferably on the national levels, to a separate meeting of EU energy ministers next Oct. 26. For the longer-term measures, the summit agreed to set up an expert survey at the European Commission “to study the functioning of the gas and electricity markets, as well as the EU ETS (Emission Trading System) market, with the help of the European Securities and Markets Authority.” The Commission should then assess “whether certain trading behaviors require further regulatory action,” the summit conclusions said, pretending leaders did not know whom to blame for the drastic price increases.
On the eve of the summit, Poland, the Czech Republic, and Spain were more on the mark when asking the EU to limit financial speculators’ participation in the carbon market, which they said has helped push CO2 prices to record highs. In a paper circulated to other countries ahead of the EU summit, Poland said Brussels should change or delay parts of its climate policies, warning that if an “excessive burden” is put on consumers, they may reject the EU’s climate aims. “We should analyze in detail all elements of the Fit for 55 package that can have a negative impact on the energy price and consider their revision or postponement,” the paper said. “Fit for 55” refers to the EU policy package to cut emissions by 55% from 1990 levels by 2030.
Poland and the Czech Republic blamed the Emissions Trading System for aggravating the energy crisis, the Poles calling for steps to restrict access to the market to some financial investors to curb speculation and prevent further increase of pollution costs.
Coming as no surprise, outgoing German Chancellor Angela Merkel rejected the arguments by these governments, claiming that the Green Deal and the energy crisis were two “separate issues” that should not be put in one bag and that the energy spot market was not the problem, instead “more market” was needed than before.
