Wrochna: The ECJ cannot be suddenly suspended. State budgets benefit from it

Deputy Energy Minister Wojciech Wrochna said on Monday in Brussels that introducing price caps or withdrawing or suspending the ETS system in response to high energy prices is a “difficult proposition” because many state budgets profit from high prices in the ETS.

Wrochna, who took part in a meeting of EU energy ministers on Monday, was asked how the EU should respond to high energy prices. This issue, discussed on Monday by energy ministers, will be one of the main topics of the EU summit on Thursday in Brussels. Potential solutions include: temporary suspension of the carbon dioxide emission trading system under the ETS, introduction of a price cap or exclusion of currently expensive gas from the electricity pricing system.

– It is too early to talk about detailed solutions at the moment – said the deputy minister. However, he assured that talks are ongoing on “what to do to provide relief to energy-intensive entrepreneurs by reducing energy costs, for which enterprises in Poland and in some Member States the ETS constitutes a significant burden.”

– Introducing price limits or withdrawing the ETS or suspending its operation is a difficult proposition, because we must also remember that many state budgets profit from high ETS prices, so we cannot cut revenues overnight – added Wrochna.

According to him, a specific, targeted solution is a must. – Our industry is struggling in the face of high energy prices. So we need to find a solution that will help reduce prices without changing long-term regulations, he emphasized.

As he said, the market and investors need stability. – Therefore, we cannot suspend the principles and legal framework on which markets are based overnight – added the Deputy Minister of Energy.

In his opinion the proposal to exclude gas from the electricity pricing system should only be considered as a temporary solution. – However, I would like to point out that gas is not a problem in Poland. The problem is the cost of ETS. We have the highest ETS cost in Europe, reflected in energy prices, noted Wrochna.

He drew attention to positive changes in the EU regarding the approach to nuclear energy. In his opinion, after the President of the European Commission, Ursula von der Leyen, announced last week that phasing out nuclear energy was a huge mistake, the EU has entered a new era of talks on this type of energy. According to him, this change, along with the strategy on small modular reactors (SMRs) presented by the EC, was noted on Monday at a coordination meeting by ministers of EU countries supporting further development of nuclear energy in the Community.

From Brussels Magdalena Cedro (PAP)

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