Energy prices are strangling industry. The EU is taking a closer look at network charges and emissions costs

The European Commission is examining the possibility of taking short-term measures to reduce energy costs for industry in the EU. This includes: about changes in energy taxes, network fees and CO2 emission costs – according to a document obtained by Reuters.

The Commission is looking for quick solutions after warnings from businesses that high energy prices are weakening the competitiveness of European industry against companies from China and the United States. The pressure was additionally increased by the increase in oil and gas prices caused by the conflict between the USA and Iran – Reuters wrote on Saturday.

European Commission President Ursula von der Leyen announced that she would present possible options to EU leaders during the summit scheduled for March 19 in Brussels.

The document prepared for the meeting of EU commissioners shows that the Commission is considering actions to support the most affected regions and economic sectors, which would not at the same time undermine EU climate regulations aimed at leading to the transition to a cheaper, low-emission energy system.

No proposal for legislative changes will bring immediate results, therefore a bridging solution may be needed to reduce energy prices over the next 2-5 years, until the energy transformation begins to more clearly reduce the pressure on electricity prices, which is already observed in some regions, the document writes.

The Commission intends to analyze, among others: network fees, which constitute approximately 18%. electricity bills for industry, as well as national taxes and fees and CO2 emission costs, accounting for approximately 11%. these bills.

According to the Commission, in the event of further disruptions in energy supplies, the EU should be prepared to introduce measures encouraging consumers to reduce energy consumption, similar to what happened in 2022, when Russia significantly reduced gas supplies to Europe.

From Brussels Łukasz Osiński (PAP)

luo/adj/