Energy crisis: Poland wants to suspend EU emissions trading

ZThe Czech Minister of Industry and current President of the Council, Jozef Síkela, scheduled two hours for the debate on the high energy prices at the special meeting of energy ministers on Friday morning. At twelve o'clock there should be clarity as to whether the ministers will support the European Commission's proposal to cap the "extraordinary profits" from wind, solar and nuclear power. It would not be a surprise if the discussion lasted longer. There are too many unanswered questions about this. Is skimming off special profits enough for the states that have spoken out in favor of completely decoupling the price of electricity from the price of gas? These include Italy, Spain, France, Sweden and the Czech Republic. And what does that mean for the price cap already introduced by Spain and Portugal?

Resistance also comes from other quarters. The Polish Prime Minister Mateusz Morawiecki In an interview with the British newspaper "Financial Times", he spoke out in favor of relieving consumers in other ways than introducing extremely complicated excess profit taxes or skimming off special profits. Instead, he wants to suspend emissions trading for one to two years or at least drastically reduce the price of CO2 emission rights. This can be done quickly and immediately lowers the price of electricity for consumers. In the past few weeks in Brussels, Poland has already brought up a EUR 30 reduction in the issue price. At the moment it is 70 euros. In August it was 30 euros more.

However, at a debate between energy experts from the member states on the energy crisis on Wednesday, Poland's initiative met with little support. In addition to Germany, France, Denmark, Sweden, Finland, Ireland, Luxembourg and the Netherlands have clearly spoken out against it, say EU diplomats. The costs of emissions trading are of course reflected in the electricity price down because the energy companies have to pay for their CO2 emissions, but they are not responsible for the price hikes of the past few months, according to the critics. In addition, a reduction in prices for consumers means that demand for electricity is more likely to be boosted. But that's exactly what you want to avoid, so that the gap between supply and demand doesn't widen, say diplomats. The basic problem is that there is not enough gas.

EU Commission wants to skim off profits

the EU Commission Therefore, in close coordination with the federal government, wants to skim off the "unexpectedly high profits" that producers of cheap green and nuclear power, but also producers of coal-fired power, have because of the high electricity prices. They benefit from the fact that the gas-fired power plants are currently running almost continuously and the high price of gas "sets" the price of electricity.

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