Disappointment. This is what the Vice President of Energy Transition, Teresa Ribera, has shown upon her arrival in Brussels this Friday for the extraordinary meeting of Energy Ministers. “We are disappointed with the proposal, with the non-proposal that the European Commission has made”, said Ribera: “The Commission knows that it is a sensitive issue and has not yet found the space in which all the Member States can respond positively. Therefore, it is good that a debate is sparked that allows us to guide what to do in this regard. What does that mean? It means that today we do not come out with a definitive conclusion in a text that can be implemented immediately. But I do hope that we can come out with a very clear orientation on what we do with respect to that price, that price corridor, that index that is taken as a reference in Europe that no longer responds to reality. The TF index is no longer responding to what are the operations and the cost behind gas purchase operations, and yet it is generating enormous distortions in our prices in Europe”.
Spain and 14 other countries demand to accelerate the debate on the cap on the price of gas in the EU
The TTF (Title Transfer Facility) is a reference market for the exchange of natural gas from continental Europe. Located in the Netherlands, thanks to its location it allows gas to be transferred between the markets of Norway, Germany, France, Italy and the United Kingdom.
Ribera added: “It is also unreasonable for us to look the other way when there are many intermediaries and many operations that are closing at prices that have nothing to do with production costs or with the prices paid to the supplier, which is what we are seeing. Unfortunately we think that the terms in which the Commission is making the proposals today fall short of what Europe needs”.
Spain is one of the 15 countries that have sent a letter this week to the European Commissioner for Energy, Kadri Simson, to ask for concrete proposals to put a cap on the price of all gas imported by the European Union. But the European Commission is hardly open to doing that with Russian gas, since the cap is “at the price of gas for the production of electricity” in line with the Iberian exception.