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Europe Daily Bulletin No. 12806
Contents Publication in full By article 12 / 32
EUROPEAN PARLIAMENT PLENARY / Energy

Faced with rising prices, several groups in European Parliament call for an investigation into market manipulation

MEPs, meeting in plenary, debated with representatives of the Council of the European Union and the European Commission, on Wednesday 6 October, on how to tackle rising energy prices for businesses and consumers (see EUROPE 12795/13).

This situation affects European citizens and businesses, especially SMEs already hard hit by the pandemic. We have to get out of this crisis, out of these soaring prices”, said Siegfried Mureșan (EPP, Romania).

To do this, our group proposes to start by “identifying whether there has been manipulation of the markets by actors, whether state or non-state”, the MEP detailed, openly targeting “Gazprom and Russia”.

Several political families in the European Parliament shared this approach, calling for an investigation. The European Commission has confirmed, via the Commissioner for Energy, Kadri Simson, that it will look into this matter.

Storage capacity and toolbox

On the issue of inter-state cooperation, the EPP, Renew Europe and S&D groups support the idea of a toolbox for Member States to react to crisis situations.

It should be presented next week, said Kadri Simson (see EUROPE 12796/9). This, after initial discussions at the ‘Environment’ Council of the EU and the Heads of State and Government dinner in Ljubljana (see other news).

A concrete plan is needed for Member States to respond. This would be a first step towards a real Energy Union”, insisted Iratxe Gárcia Pérez (S&D, Spain). She also expressed her incomprehension that this “urgent debate” had not been accompanied by a motion for a resolution.

Similarly, several parliamentary groups also put forward the idea of joint actions such as joint gas storage capacities or joint energy purchasing programmes. These procedures could be modelled on the one used for the purchase of vaccines.

We need to strengthen our gas storage capacities which are very insufficient in some Member States. Current stocks are not sufficient and some countries have already started to draw on them to cope with rising prices. A European initiative with suppliers, transporters and regulators is possible”, said Christophe Grudler (Renew Europe, France).

Targeted aid and speculation

In addition to storage, several political families - such as the S&D - also stressed the need for measures to “curb market speculation and enable a sustainable transition”.

The Left group, which wants to go further, is advocating for “an immediate price freeze on energy”, as well as for lower taxes and the introduction of progressive pricing.

Gas rose by 57% in France, electricity rose by 37% in Spain and 40% in Italy. The Commission is guilty, as are all those who want to ‘commodify’ everything. Since the privatisation of the markets, prices have almost doubled”, said Manon Aubry (The Left France).

Member States should be allowed to renationalise energy sectors”, she added.

Finally, for the Greens/EFA group, lessons must be learned from the current crisis. “It is necessary to stop using carbon-based energy. Addiction to fossil fuels was already untenable from a climate and geopolitical point of view, and now it is becoming a financial handicap”, judged its co-chair, Belgium’s Philippe Lamberts.

The Green group - and it is not alone - would also like to see targeted direct support for the most vulnerable.

In addition to the presentation of a toolkit, the European Commission also recalled that a reform of the gas market will be proposed by the end of the year. Member States will again address soaring energy prices at the European Council on 21-22 October. (Original version in French by Thomas Mangin)

Contents

EUROPEAN COUNCIL
SECTORAL POLICIES
EUROPEAN PARLIAMENT PLENARY
COURT OF JUSTICE OF THE EU
INSTITUTIONAL
ECONOMY - FINANCE
NEWS BRIEFS