Business Express is an online portal that covers the latest developments in the world of business and finance. From startups and entrepreneurship to mergers and acquisitions, Business Express provides reporting on the stories that matter most to business leaders and decision-makers.The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
2022 08 29T114449Z 1 LYNXMPEI7S0E9 RTROPTP 4 EU ENERGY BELGIUM - Business Express

Belgium supports energy price caps, suspending trading in EU power crunch

BRUSSELS (Reuters) – Belgium has backed introducing price caps for European Union’s gas and electricity hubs, as well as suspending trade in case of “irrational market behaviour”, according to a note seen by Reuters on Monday.

The 27-nation EU is looking for ways to tackle soaring energy prices, including discussing price caps for markets spooked by Russia’s invasion of Ukraine and reduced gas supplies to Europe.

Eurostat said earlier this year Belgium had the highest energy inflation in the EU and the government in Brussels tinkered with taxes and tariffs to alleviate the pain on consumers. It has also called for reforms of the EU energy market.

“Price levels for gas trading on European hubs should be capped in order to limit irrational market behaviour,” the Belgian government said in the note.

With LNG terminals and gas pipelines connecting Europe and the world, wholesale prices should not be significantly higher in Europe than at the U.S. Henry Hub or Asia’s JKM, it said.

Don't miss out on any breaking news or insightful opinions!
Subscribe to our free newsletter and stay updated on the go!

By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email.

“If price ceilings are installed in the gas market, the price ceilings in the electricity market must also be revised”, added the note, which also lays out the Belgian government’s stance ahead of talks among the bloc’s energy ministers.

It called for suspension in wholesale trading if necessary and for a review of pricing that currently translates higher gas prices into more expensive electricity, even if the latter is produced from nuclear or renewable sources.


(Reporting by Gabriela Baczynska, Editing by Louise Heavens)

Recent Post: