EU to present options to boost gas stocks, steer away from Russia
Reuters
Published Mar 07, 2022 04:59PM ET
Updated Mar 07, 2022 05:28PM ET
BRUSSELS (Reuters) - The European Commission will present options on Tuesday to diversify its sources of energy and reinforce energy security to make it less reliant on Russia after the invasion of Ukraine, Commission Vice President Valdis Dombrovskis said on Monday.
Russia accounted for around 45% of EU gas imports in 2021 and close to 40% of EU gas consumption, according to the International Energy Agency. The dependence undermines EU efforts to sanction Russia and leaves it at the mercy of soaring energy prices.
"Tomorrow we intend to publish an energy communication where we outline what are the possible EU steps which can be taken to diversify away from Russian supplies, to increase our energy security," Dombrovskis told the economics committee of the European Parliament.
Options included joint procurement of natural gas, setting up strategic storage with certain capacity levels to achieve ahead of the next winter season, as well as diversification of supplies, he said.
Lawmakers asked Dombrovskis and Economy Commissioner Paolo Gentiloni to what extent existing funds aimed at aiding the recovery from the COVID-19 pandemic could be steered towards the energy problems.
Dombrovskis said EU members had until August 2023 to indicate if they wanted to take up loans and that these could be used to finance investments in energy supply.
Gentiloni said recovery and resilience funds already had a heavy energy component, with 41% dedicated to climate objectives. Some 65 billion euros ($70.6 billion) was earmarked for energy efficiency and 27 billion euros for renewable energy and networks, he said.
The commissioner also said it was important to avoid divergence of policy across the EU in case of problems of gas supply.
"If a big crisis risks divergence among member states, we will have to put in our agenda a discussion of a further support and compensation mechanism," Gentiloni said.
($1 = 0.9213 euro)
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.