According to media reports on Sunday, the European Commission said there was "no indication of any negative impact" since the measure came into effect, with gas prices now down nearly 90% from last year.
Last winter, at the height of Europe's energy crisis, gas prices reached over 300 euros per megawatt hour, but that did not last long. EU member states have finally agreed after weeks of discussions to set a gas price cap if the European natural gas benchmark price, the Dutch TTF, reaches €180 per megawatt hour for three consecutive days, and the TTF exceeds the global LNG price during those three working days. Above €35, the cap will come into effect.
Germany and Austria initially opposed the introduction of the cap, arguing it would distort markets and exacerbate supply constraints. But the European Commission report pointed out that this cap did not affect the EU's natural gas imports.
Top EU diplomats and officials say gas supplies this winter could still be affected by the Israeli-Palestinian conflict and potential sabotage of gas infrastructure, despite falling gas prices and record high EU gas reserves.
At the same time, the EU continues to emphasize increasing its focus on renewable energy. Ten countries, including Germany, have signed a document led by Austria calling for greater focus on renewable energy, including raising the EU's target of 42.5% renewable energy by 2030. 45%.
The European Commission will submit a proposal in November identifying which emergency energy measures should be extended, including gas price caps, as well as licensing measures and regulations to ensure member states share gas supplies.