The European Commission is alleged to consider temporarily imposing Gas prices ceilingwith EU energy companies reacting to such a possibility, noting that it will have a negative impact on the bloc’s energy supply.

Brussels, according to a Financial Times report, are considering a temporary ceiling on the price of gas in an effort to alleviate the energy costs at which European companies are borne by US.

The idea for the establishment of a maximum price of natural gas as a tool for supporting European industry in times of crisis, as Bloomberg notes, had been expressed by some officials for a few months, however had been rejected by most member countries of the Union, according to sources cited by the agency.

Specifically, as Bloomberg’s sources who demanded that their anonymity be maintained, the idea of ​​the ceiling was previously expressed by former European Central Bank President Mario Draghi in his report on the competitiveness released last year and then some officials. They had said that it could be considered as a possible measure in times of crisis.

But this measure never proceeded. But now the bloc’s energy companies are concerned that there may be such a move as there may be such a move as Natural gas prices have more than doubled in the last 12 months – Earlier this week at a two-year high amid concerns about the exhaustion of blocks- and the European Commission is preparing to present its plan to enhance the competitiveness of European industry on February 26th. energy.

The European energy industry expressed its opposition to such a possibility in a letter sent to the President of the Commission, Ursula von der Laen, which is signed by a total of 11 associations, including oil and gas companies, trading companies.

“We believe that this measure, if announced, could have extensive negative consequences In the stability of European energy markets and the safety of the energy supply of all Epirus, “the industry’s associations said in their letter to the President of the Commission. “A higher price limit will not reduce the price in the global energy market, but it can cause upward pressure on prices and increase the variability of prices in Europe,” they add.

The European Commission refused to comment on the issue at Bloomberg.

It is noted that energy prices have fallen significantly from their top during the energy crisis, but still remain high. An event that concerns the European Commission, as Ursula von der Laien has made a reduction in energy prices and boosting industry’s competitiveness as the Commission’s key priorities during its second term.

The recent increase in prices is not due to the colder weather in Europe and on the other to reduce the volume of gas supplied by Epirus from Europe, reasons that have accelerated the reduction in block stocks.

It is noted that future reporting contracts have recorded a 16% rise since the beginning of the yearwith the price of 56.70 euros a megawatt hour.

In his report on competitiveness, Mario Draghi had proposed that regulatory authorities could apply financial position limits and “dynamic ceilings” if Spot or EU prices diverge significantly from world prices, in the US example. to limit speculation phenomena.

In the context of the reactions in the industry, the Association of Eurelectric Industrial Electricity called on the Commission “to avoid the poorly designed short -term measures” proposed by the Draghi report.

‘Of all ideas that have been released with the aim of more affordable energy, The priced ceiling is probably the worst“Said Kristian Ruby, Eurelectric Secretary General. “It is ineffective, impossible to apply and detriment to investor confidence.”

Europe has intervened in the past to limit prices. During the energy crisis, the EU had introduced a ceiling that would be imposed if prices exceeded 180 euros per megawatt for three business days and if it was at least 35 euros per megawatt hour than prices on the world market. This measure was never activated and its power ended at the end of last month.