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The impact of the surge in prices is forcing companies to curtail production and governments to spend billions on support to cushion consumers from the impact. The Russian president said Germany and Western sanctions affecting the supply of parts were to blame for the pipeline not being operational. The energy crisis facing Europe has grown more acute after Russia’s Gazprom fully suspended gas supplied through the Nord Stream 1 pipeline to Germany after it said it found an engine oil leak during maintenance work last week. However, European utilities stocks rallied on the news with analysts viewing the level of the cap as a better than expected outcome for the industry.
Governments should seek to tackle this rather than resorting to distortive, ad-hoc interventions in the electricity market,” said Kristian Ruby, secretary general of Eurelectric. “The root cause of the problem is a shortage of gas supply and our addiction to imported fossil fuels. He also questioned a United Nations-brokered deal to export grain from Ukraine.Įurope usually imports about 40% of its gas and 30% of its oil from Russia.Įurelectric, a body representing the European electricity industry, also criticized plans for an EU cap of 200 euros per megawatt-hour on the price of electricity from generators that do not run on gas. Also, place a comment if you have any queries related to this topic.“We will not supply gas, oil, coal, heating oil – we will not supply anything,” Putin said. We are launching a special offer: Buy 3 Rival cases for the price of 2.
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