[Asia Economy New York=Special Correspondent Seulgina Jo] The 27 heads of state of the European Union (EU) ultimately failed to reach a conclusion regarding the price cap to stabilize natural gas prices. Although they decided to continue discussions, it is evaluated that the differences in positions among member states were only reaffirmed.
Ursula von der Leyen, President of the European Commission, announced at a press conference during the informal EU summit held at Prague Castle, Czech Republic, on the 7th (local time) that she plans to propose a concrete plan to stabilize gas prices within weeks.
Regarding the natural gas price cap, one of the key agenda items of the summit, it is known that the opinions presented by each member state were compiled to prepare several 'options' for further discussion. Accordingly, the decision on whether to introduce the gas price cap is expected to be finalized around the end of this month, after the summit to be held in Brussels, Belgium on the 20th-21st.
The gas price cap essentially sets an upper limit on the price of natural gas imported into the EU. The intention is to curb suddenly soaring prices and reduce household burdens, but it has faced criticism as market intervention. Concerns were also raised that alternative exporting countries might be reluctant to increase supply.
At this meeting as well, there was general agreement on the intention to introduce the price cap, but there were significant differences in views regarding the specific scope and method.
Mateusz Morawiecki, Prime Minister of Poland, said, "All member states agree that prices should be lowered, but there is no consensus on exactly what means to use." Michael Martin, Prime Minister of Ireland, also stated that "a lot of (preparatory) work needs to be done" before an agreement can be reached.
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