Europe made a historical decision today to face the energy crisis, a decision in the interests of its citizens, Greek Environment & Energy Minister Kostas Skrekas said from Brussels on Monday.
Skrekas was commenting on the decision by the EU Energy ministers to cap wholesale price of natural gas at 180 euros/kWh, which will go into effect on February 15 in the TTF price index and on March 31 for the rest of the indexes.
In comments after the agreement, the minister said the mechanism will be activated every time the natural gas price rises over 180 euros/kWh for three days in a row, and the duration of the mechanism will be one year. The European Commission will be able to exempt certain derivatives from the mechanism when its market correction leads to negative repercussions in financial markets or natural gas markets.
Skrekas said “it took nine months of negotiations since Prime Minister Kyriakos Mitsotakis first proposed the introduction by the European Commission of a realistic cap on natural gas markets. Today’s result is not accidental or without hard work – it is the product of systematic efforts throughout and of European solidarity, which member states exhibited once again, in order for the EU to face the energy crisis.”
He added that “Greece once again has proven a pioneer in joint member-state policies before great challenges faced by the great European family. Today we did our duty before European citizens.”
Premier welcomes decision
PM Mitsotakis welcomed the European Energy Ministers’ agreement to cap natural gas prices, calling it ‘another milestone’ in protecting citizens from the price spike following Russia’s invasion of Ukraine.
In a social media post, the Greek PM said, “Today is another milestone in our long effort to shield our citizens and businesses from excessive gas prices caused by Russia’s invasion in Ukraine. The market correction mechanism – a Greek proposal submitted 9 months ago – has finally been adopted by Europe’s energy ministers.”
He added, “The market correction mechanism sends a clear message than when markets fail, governments will step in. We will not allow our institutions to be weaponized against us. This is an additional tool to help protect our economies from the extraordinary increase in gas prices.”