A dynamic price cap, to be applied in a scenario in which there is no lack of supplies and there is an exchange of demand and supply of gas.
This is one of the key points of the 'non paper' - unofficial document - signed by Italy, Poland, Greece and Belgium, which ANSA has read.
Based on the "dynamic corridor: it is possible to establish a core value for this corridor and revise it regularly taking into account external benchmarks (e.g. crude oil prices) and allowing for fluctuations (e.g. 5%) around the core value at 'interior of the corridor ", reads the proposal.
The 'non paper', as far as we know, has been circulated in these hours in the European institutions,
was sent to the Commission and will be among the proposals subject to debate among the member countries.
The document envisages that the application of this "dynamic corridor" to the price of gas has a "central value that would represent a maximum limit that can be placed on a reference hub (such as Ttf) or can be placed on several hubs (Peg, Psv, Zee, to avoid arbitrage), or rather it can cover all transactions (both on the stock exchange and OTC) ".
Furthermore, the non-paper reads, "fluctuations around the central value would be possible to provide price signals for the movement of gas through the Member States, in the event that more hubs reach the maximum".
the price of gas has a "central value that would represent a maximum limit that can be placed on a reference hub (such as Ttf) or can be placed on multiple hubs (Peg, Psv, Zee, to avoid arbitrage), or rather it can cover all transactions (both on the stock exchange and OTC) ".
Furthermore, the non-paper states, "fluctuations around the central value would be possible to provide price signals for the movement of gas through the Member States, in the event that more hubs reach the maximum".
the price of gas has a "central value that would represent a maximum limit that can be placed on a reference hub (such as Ttf) or can be placed on multiple hubs (Peg, Psv, Zee, to avoid arbitrage), or rather it can cover all transactions (both on the stock exchange and OTC) ".
Furthermore, the non-paper reads, "fluctuations around the central value would be possible to provide price signals for the movement of gas through the Member States, in the event that more hubs reach the maximum".
A cap limited to gas used for electricity "ignores 2/3 of the gas market" and creates "disincentives to reduce prices" as importers will be compensated for whatever price they pay.
This is what we read in the non-paper - unofficial document - with the proposals of Italy, Belgium, Poland and Greece on the gas price cap.
The text also underlines how this solution could create "a liability without a clear external limit", for example because the import price can continue to rise, requiring more resources to maintain the ceiling.
"We must work together to tackle the energy crisis. We can also do it in no particular order, but we would lose European unity."
According to what we learn, this was the reasoning made by Prime Minister
Mario Draghi
at the round table dedicated to the theme "Energy, Climate Economy", organized within the European political community.
The round table was attended - together with Italy - by Germany, Portugal, Ireland, Belgium, Bulgaria, Liechtenstein, Norway, Ukraine and Serbia.
