RT.com
24 Nov 2022, 23:44 GMT+10
The country is calling for a long-term solution and says fuel-price cap will have little effect
France risks losing some of its markets and may never get them back due to rocketing gas prices and the detrimental conditions for European production they create, the country's Energy Minister Agnes Pannier-Runacher said on Thursday.
Speaking at an emergency meeting of EU energy ministers, summoned in an effort to decide on how to bring energy prices down, she criticized the European Commission's proposal to cap the price of gas, saying that it would have little effect on skyrocketing prices.
"This [price cap] may be helpful, but it is not a structural reform and is not a response to rising gas prices which the EU production is facing, and which is putting our economy at risk," she said.
The official stressed that current gas prices, which are five-to-ten times higher than two years ago, degrade France's industrial output, and called for a "structural solution" to shield the economy.
The proposed price limit would only rein in the costs in emergency cases while, in the long run, it may disrupt the market, Pannier-Runacher said, urging that measures be implemented to prevent the situation where France risks "losing part of its markets, with all the consequences it will have for producers and jobs in the industry."
The initiative from the European Commission has drawn widespread criticism, with some countries arguing it lacks sufficient safeguards, while others, like Spanish energy minister Teresa Ribera even calling it a "mockery."
The commission has proposed introducing a cap when prices on the TTF exchange, Europe's gas benchmark, reach €275 per megawatt hour (where electricity is produced using gas) and when prices are €58 ($59.53) higher than the LNG reference price for ten consecutive trading days within the two weeks. Both conditions need to be met for the cap to be triggered.
For more stories on economy & finance visit RT's business section
(RT.com)
Get a daily dose of New York Statesman news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to New York Statesman.
More InformationNEW YORK, New York -U.S. stock markets closed with broad gains on Thursday, led by strong performances in U.S. tech stocks, while European...
LONDON/STOCKHOLM: The Persson family is ramping up its investment in the H&M fashion empire, fueling renewed speculation about a potential...
PARIS, France: L'Oréal is making a fresh play in the booming premium haircare segment with a new acquisition. The French beauty conglomerate...
MENLO PARK, California: Robinhood is giving European investors a new way to tap into America's most prominent tech names — without...
NEW YORK, New York - U.S. stocks diverged on Wednesday for the second day in a row. The Standard and Poor's 500 hit a new all-time...
NEW YORK CITY, New York: The U.S. dollar continues to lose ground, weighed down by growing concerns over Washington's fiscal outlook...
GENEVA, Switzerland: A new United Nations report alleges that dozens of global corporations are profiting from and helping sustain...
LONDON, UK - Lawmakers in the United Kingdom have voted overwhelmingly to proscribe the direct-action group Palestine Action as a terrorist...
DHARAMSHALA, India: The Dalai Lama is set to address a significant three-day conference of Buddhist leaders this week, coinciding with...
WASHINGTON, D.C.: In a significant ruling last week, the U.S. Supreme Court upheld a Texas law requiring age verification for users...
ISTANBUL/PARIS/BRUSSELS: As searing temperatures blanket much of Europe, wildfires are erupting and evacuation orders are being issued...
VENICE, Italy: Over the weekend, hundreds of protesters marched through the narrow streets of Venice to voice their opposition to billionaire...