# EU leaders to discuss soaring energy prices
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2021-09-28
Category: NEWS
Category URL: https://financedigest.com/category/news
Meta Title: EU Leaders to Discuss Surging Energy Prices Amid Soaring
Meta Description: Stay informed about the discussions on skyrocketing gas and power costs and how EU countries are responding to cushion households from the impacts.
URL: https://financedigest.com/eu-leaders-to-discuss-soaring-energy-priceshtml

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By Kate Abnett

BRUSSELS (Reuters) – Leaders of European Union countries will discuss surging energy prices when they meet next month, as governments scramble to cushion households from the soaring cost of gas and power.

Benchmark European gas prices have rocketed by more than 300% this year due to factors including low storage levels, outages and high demand as economies recover from the COVID-19 pandemic, dragging up wholesale electricity costs.

Leaders from the EU’s 27 member countries will discuss the [surging prices](https://www.financedigest.com/explainer-oil-price-surge-changes-ecb-narrative-only-at-the-margins.html "Explainer-Oil price surge changes ECB narrative only at the margins") when they next meet on Oct. 21-22, according to a draft [agenda for the summit](https://www.financedigest.com/explainer-whats-on-the-agenda-at-the-u-n-s-cop15-nature-summit.html "Explainer-What’s on the agenda at the U.N.’s COP15 nature summit?"), seen by Reuters.

The [European Council will discuss the recent hike in energy](https://www.financedigest.com/european-governments-spend-half-a-trillion-euros-on-energy-crisis-report.html "European governments spend half a trillion euros on energy crisis – report") prices,” the draft said.

EU [countries are responsible for their national energy](https://www.financedigest.com/eu-countries-eye-deal-on-more-energy-measures-within-weeks.html "EU countries eye deal on more energy measures within weeks") policies, and some governments have already intervened. France has offered a one-off payment to poorer households, while Greece is planning subsidies to help [households shoulder higher bills](https://www.financedigest.com/44-of-uk-households-are-worried-theyll-have-to-foot-the-bill-for-net-zero.html "44% of UK Households are Worried They’ll Have to Foot the Bill for Net Zero").

Some governments have called for a more coordinated EU response – with Spain seeking reforms to the bloc’s electricity market and warning that high [energy bills could damage public support](https://www.financedigest.com/energy-bill-support-pushes-uk-budget-deficit-to-february-record.html "Energy bill support pushes UK budget deficit to February record") for EU policies to fight climate change.

There is an urgent need to discuss the impact of higher prices on low income communities at the highest possible level,” one EU diplomat said on Tuesday, adding the bloc must ensure its climate [change targets do not push](https://www.financedigest.com/bayer-shares-gain-on-prospect-of-second-activist-pushing-for-change.html "Bayer shares gain on prospect of second activist pushing for change") prices up more.

Brussels has said it will provide a “toolbox” of [measures that national](https://www.financedigest.com/national-cinemedia-releases-first-cinema-attention-measurement-study-conducted-by-lumen-in-collaboration-with-dentsu.html "National CineMedia releases first cinema attention measurement study, conducted by Lumen in collaboration with dentsu") governments can use to respond to price hikes – such as by tweaking the value-added tax (VAT) on energy to reduce costs for consumers.

The European Commission has said the [price spike should encourage countries to speed](https://www.financedigest.com/immediate-lift-of-oxford-property-prices-to-result-from-new-direct-high-speed-rail-connection-with-london.html "“Immediate lift” of Oxford property prices to result from new direct high speed rail connection with London") up their shift away from fossil fuels including gas, and ensure more citizens have access to affordable renewable energy.

[(Reporting by Kate Abnett Editing by Gabriela Baczynska and Mark](https://www.financedigest.com/geoengineering-marks-scientific-gains-in-u-n-report-on-dire-climate-future.html "Geoengineering marks scientific gains in U.N. report on dire climate future") Potter)


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