Energy Commissioner Dan Jørgensen stated that there is "still more to be done" to mitigate the rise in electricity and gas prices caused by the instability in the Middle East, as Brussels faces pressure from member states to introduce a short-term solution.
In an interview with Euronews' main morning program, Jørgensen urged member nations to reduce electricity taxes as the quickest method to lower household expenses. He stated that lowering levies would "allow the industry to compete more easily" as well.
"We've conveyed a distinct message to the member states: we suggest reducing taxes on electricity," Jørgensen informed Euronews. "You can accomplish that tomorrow; there's no need to wait for another legislative proposal to arise." "It can be accomplished in the short term."
At the same time, EU leaders are prepared to question the Commission about specific, actionable proposals that can be swiftly executed when they convene next week in Brussels for a summit arranged prior to the war, which has now become increasingly urgent.
An internal document reviewed by Euronews indicates that leaders will urge the Commission to submit an updated version of the EU's carbon market framework, the Emissions Trading System, by July 2026 at the latest. Jørgensen informed Euronews that the executive is "constantly engaging in discussions about the bloc's long-term energy transition while meeting immediate requirements."
His comments come after a tumultuous week for the global energy sector as Iran persists in targeting Gulf nations, key suppliers and producers of oil, affecting cargo movement through the Strait of Hormuz. The intensification and escalation of the conflict caused oil prices to surge to $100 per barrel at the beginning of the week, marking the largest increase since 2022.
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President Donald Trump stated on Tuesday that if Iran proceeded with its plan to place mines in the Strait, blocking the passage of ships, it would encounter military repercussions "unprecedented". The US government has proposed plans to safely guide tankers through the Strait of Hormuz, yet specifics about the operation are still vague.
On Wednesday, a gathering of G7 leaders, including President Trump, is scheduled to occur to address the geoeconomic impacts of the war with an emphasis on energy, as per sources connected to French President Emmanuel Macron's office, which is hosting the G7.
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According to industry sources, the International Energy Agency is reportedly nearing the completion of a release of strategic oil reserves amounting to 300-400 million barrels. It would mark the largest intervention to stabilize the market since the Russian invasion of Ukraine triggered a worldwide energy downturn in 2022.
Jørgensen, who attended a G7 energy ministers' meeting on Tuesday, stated that releasing reserves would be advantageous if it alleviated global worries.
"It would aid in maintaining lower prices," he said to Euronews' Maria Tadeo. "At this moment, in Europe, we do not face security of supply challenges, but naturally, the issue of prices is very significant for our citizens and businesses."
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He stated that the EU has never considered relaxing sanctions on Russian energy, unlike the US which is contemplating this to lower prices, and Hungary urged the Commission to take action in a controversial letter this week. "We definitely do not desire Russian energy," he stated.