Germany and the Netherlands Propose 10-Point Plan to Combat Gas Price Surge

Germany and the Netherlands have proposed a 10-point plan that the EU could use to try and soften gas prices and avoid rationing.

• The plan has been shared with EU nations ahead of its energy meeting in Prague today.
• It calls for joint gas buying to avoid EU nations outbidding one another and driving prices higher.
• It also calls for a new benchmark price for LNG. They said a broad gas price cap was a less preferrable option.
• 15 EU nations are in favour of a cap on gas prices but Germany and the Netherlands have warned it could lead to countries struggling to attract supplies and may not encourage demand destruction.
• The document, seen by news outlets, recommends that the EU should launch negotiations with non-Russian suppliers like the US, Algeria and Norway, to attempt to bring down prices.
• A price cap on Russian gas could also be considered the document said. Talks so far have been shelved due to resistance from central and eastern EU nations.