Brussels, 12/10/2005 (Agence Europe) - Participating in the Euro-American Energy Congress in Madrid on Tuesday, European Energy Commissioner Andris Piebalgs said the Union and Latin America should strengthen their energy cooperation, especially in the field of renewables and biofuels to counter the negative effect of the rise in energy prices. Latin American countries are major renewable energy producers (in these countries, over 60% of electricity is generated by hydraulic power and the agricultural sector is a significant producer of biofuels). “We must create a stable environment that promotes growth of investment and the development of new innovative solutions in the energy sector”, Mr Piebalgs stressed. Although he welcomes the participation of Brazil in the project implemented by the EU on bioethanol transport, Mr Piebalgs hopes that more Latin-American countries will take part in other international initiatives promoting renewable energies and energy efficiency. Furthermore, since the Union continues its efforts to liberalise its internal gas and electricity market, electricity prices have fallen 15% below their level ten years ago, he states, therefore recommending that the Union's South American partners strengthen their regional integration by creating an internal energy market. Such an initiative is, however, already in place in South America with the Gas Ring, which links the gas markets of Argentina, Brazil, Chile, Paraguay, Peru and Uruguay. The first Euro-American Energy Congress brought together EU and South American government representatives, regulatory authorities and energy companies. Those taking part included French Minister François Loos (Industry), Italian Claudio Scajola (Energy) and Portuguese Manuel Pinho (Economy).