In connection with the energy crisis, the European Union is working on an extraordinary mechanism to limit prices for the entire imported gas, writes Financial Times.
He can be agreed on October 18. The European Union may set the maximum gas price at which European countries can purchase raw materials. It is reported that this will become emergency help for states against the backdrop of a sharp increase in raw materials price.
The European Union can use the mechanism of dynamic pricing, when the cost is determined algorithmically, based on external market factors, i.e. Given the offer and demand, as well as competitors’ prices and so on. It will be applied to prices at the largest TTF gas exchange in the Netherlands, whose index is used as a standard to set the cost of gas in Europe. This method will allow you to get away from sharp jumps in gas prices, as well as avoid speculation with natural gas supply to Europe.
Development of the plan is encountered with difficulties, because European leaders cannot come to an agreement on the measures to overcome the energy crisis.