The EU agrees a cap on the price of gas; Moscow calls it ‘unacceptable’

First modification: 12/20/2022 – 00:20

The member states of the European Union (EU) have approved a mechanism to limit wholesale gas prices as soon as they exceed 180 euros/MWh for three consecutive days, according to a statement from the European Council.

This cap mechanism, adopted by the Twenty-seven after several weeks of hard discussions, will only be activated at a price level that is at least 35 euros higher than the average international price of liquefied natural gas (LNG), the statement said.

The European Energy Ministers, meeting in Brussels, “have reached an important agreement that will protect citizens from increases in energy prices, with a realistic and effective mechanism, which includes the necessary guarantees for security of supply and the stability of the financial markets,” Checo said. Minister Jozef Sikela, whose country holds the rotating presidency of the EU.

The Kremlin describes the measure as “unacceptable”

The Kremlin described as “unacceptable” the cap on the wholesale price of gas, approved by the energy ministers of the EU member states meeting in Brussels.

“It is a violation of the market process for price formation,” Kremlin spokesman Dmitry Peskov was quoted as saying by Russian news agencies. “Any reference to a ‘cap’ (on prices) is unacceptable,” he insisted.

Vladimir Putin visits Belarus, Ukraine fears a joint offensive

Russian President Vladimir Putin arrived in Belarus on Monday for his first visit in three and a half years in what the Kremlin described as an extensive “working visit”, fueling fears in Ukraine that he plans to put pressure on its ally. to join a new offensive.

Belarus has allowed its territory to be used as a launching pad for Moscow’s invasion of Ukraine since February 24, but has not directly participated in the fighting.

“The protection of our border, both with Russia and with Belarus, is our constant priority,” Ukrainian President Volodymyr Zelensky said on Sunday after a meeting of the Ukrainian military high command. “We are preparing for all possible defense scenarios.”

Lukashenko calls for closer cooperation with Moscow

“Russia and Belarus are open to dialogue with other states, including European ones,” Alexander Lukashenko assured at the beginning of his meeting with Vladimir Putin, according to images broadcast on Russian television.

However, he called on Western countries to “listen to the voice of reason” and called for closer cooperation with Moscow in view of the current “difficult times.” Putin, for his part, evoked issues of economic cooperation between the two countries.

This summit between the Russian and Belarusian heads of state comes at a time when the Ukrainian authorities say they fear, in the first months of 2023, the possibility of a Russian offensive on kyiv that would be launched from Belarusian territory, repeating the scenario of the beginning of the invasion, on February 24.

Adding to the concerns, the Russian military said on Monday it would take part in “tactical” exercises in Belarus, following the announcement in October of the formation of a joint force of several thousand men.

However, Kremlin spokesman Dmitry Peskov denied that Vladimir Putin went to Belarus to convince Minsk to directly participate in the conflict in Ukraine, calling the accusations “stupid” and “baseless”.

With AFP and Reuters