Saudi Press

Saudi Arabia and the world
Wednesday, Mar 25, 2026

EU should be 'very careful' about capping gas prices, warns German minister

EU should be 'very careful' about capping gas prices, warns German minister

The European Union should be "very careful" about imposing a price cap on all gas imports entering the bloc, Anna Lührmann, Germany's minister of state for Europe, has warned.
The idea of an EU-wide gas cap has gained traction in recent weeks after prices broke new records in August and pushed electricity bills to unsustainable highs. Italy, Belgium, Greece, Sweden and Poland are among those backing the initiative, which is still in its early stages.

But Germany, the EU's largest economy and gas consumer, remains opposed, believing the measure could scare suppliers away and endanger the bloc's security of supply.

"The issue with the price cap is that: if you introduce a price cap, as the EU unilaterally, and all the other consumers around the world don't do it, then the gas will go to other consumers and thus we might have a shortage in gas supplies," Lührmann told Euronews in an interview.

"So, I think we should be very careful with these kinds of price caps and do everything we can to diversify our supply structure. That will also help to address the price issues."

Lührmann said that, instead of imposing a horizontal price cap on gas imports, the EU should engage directly with its main gas suppliers and negotiate lower prices.

"It would be important to discuss with individual gas suppliers, such as Norway, ways to reduce the price because they have a big interest in the European Union and the European market," the minister said.

"But overall, there's no alternative to actually finding the ways of how we can use energy more efficiently and how we can build up a sustainable energy system [based] mainly on renewable sources."

Norway, which this year replaced Russia as the EU's leading gas supplier, has said it is "skeptical" about a price cap but open to finding solutions. The country's trade surplus reached an all-time high of almost €20 billion in August, mostly due to soaring gas prices.

The European Commission is studying the measure's potential risks, including its impact on the liquefied natural gas (LNG) market, and has not yet tabled a formal proposal for ministers to discuss.

For the time being, the EU's emergency package will focus on three elements: electricity savings during peak hours, a cap on the excess revenues made by non-gas power plants (such as wind, solar and nuclear) and a windfall tax on the surplus profits reaped by fossil fuel companies.

The overall goal is to curb demand while raising extra money for governments.

"We can use those surpluses and give them back to consumers, to citizens, particularly those in need, so that we reduce the prices for them," Lührmann said.

The minister, who belongs to the Greens, said the new EU measures are a "very good" starting point but should be complemented by an extra effort at the national level to boost renewables.

"I'm quite convinced that if we follow them through," she said, "we [can] manage to get through this winter and also create conditions to make our economies sustainable without Russian energy supplies."

EU energy ministers are set to meet on Sept. 30 to debate and green light the emergency measures.
Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Saudi Arabia Expands Regional Trade Links by Opening New Land and Sea Routes to UAE
World Economic Forum Delays Saudi Conference as Regional Conflict Disrupts Global Agenda
Saudi Arabia and UAE Signal Potential Entry into Iran Conflict if Critical Infrastructure Is Targeted
Global Firms Accelerate Expansion into Saudi Arabia as Economic Reforms Gain Momentum
Global Labour Pressure Mounts as ILO Faces Calls to Reject Saudi Bid to Dismiss Migrant Worker Complaint
Gulf Powers Move Closer to Entering Iran Conflict as Regional Pressure Intensifies
Saudi Arabia Breaks Ranks with Regional Allies Over Response to Iran Escalation
Saudi Arabia Moves Closer to Direct Role as Iran Conflict Intensifies
World Economic Forum Postpones Jeddah Meeting Amid Escalating Regional Tensions
Saudi Crown Prince Reportedly Urges Trump to Sustain Military Pressure on Iran
Trump to Deliver Keynote Address at Saudi-Backed Investment Summit in Miami Beach
Saudi Arabia and Kuwait Press Ahead With Energy Agreements Despite Regional Conflict
Can Saudi Arabia’s Yanbu Port Replace Hormuz? Capacity Limits Test Critical Oil Lifeline
Saudi Arabia Detects Ballistic Missiles as Regional Tensions Escalate in Gulf
Saudi Aramco Reduces Oil Shipments to Asia for Second Consecutive Month
Saudi Aramco Reduces Oil Shipments to Asia for Second Consecutive Month
Saudi Arabia and UAE Push Ahead With Major Deals Despite Iran-Related Uncertainty
Formula One Cancels Bahrain and Saudi Arabia Grands Prix Amid Escalating Regional Tensions
Pakistan Signals Strategic Realignment Toward Saudi Arabia Amid Regional Tensions
Saudi Arabia Cuts Oil Shipments to Asia as Regional Conflict Disrupts Key Export Routes
Saudi Arabia Moves to Contain Regional Escalation as Houthis Signal Readiness to Join Conflict
Saudi Arabia Signals Independent Nuclear Strategy Unaffected by Iran Tensions
Saudi Arabia Signals Independent Nuclear Strategy Unaffected by Iran Tensions
Egypt Reaffirms Strong Support for Saudi Arabia as Sisi Condemns Iran’s Gulf Attacks
Saudi Stocks Close Higher as Tadawul Index Gains 0.55% on Broad Sector Strength
Iran Fires Ballistic Missiles Toward Riyadh as Gulf Conflict Intensifies
Barcelona Midfielder Marc Casadó Attracts €40 Million Interest from Saudi Clubs
Strait of Hormuz Tensions Rise as Saudi Arabia Opens Key Air Base to US Forces
Saudi Arabia Confronts Strategic Turning Point as Iran Conflict Redefines Regional Alliances
Saudi Arabia Intercepts Missile as Two Others Land in Remote Area Without Casualties
Saudi Expulsion of Iranian Military Attaché Raises Doubts Over Fragile Riyadh–Tehran Rapprochement
Saudi Arabia’s Strategic East–West Pipeline Gains Global Attention as Energy Routes Face Growing Risks
Iran Reportedly Reduces Strikes on Saudi Arabia Amid Concerns Over Strong Retaliation
Saudi Arabia Criticises Israeli Strikes in Southern Syria Amid Rising Regional Tensions
Egypt and Saudi Arabia Warn Iran’s Actions Threaten Stability Across the Gulf
Egypt and Saudi Arabia Warn Iran’s Actions Threaten Stability Across the Gulf
Saudi Arabia Unveils Comprehensive 2026 Roadmap to Streamline Company Formation
Saudi-UAE Tensions Reveal Emerging Rivalry at the Heart of Gulf Power Dynamics
Saudi Arabia Launches Gulf Maritime Support Initiative to Safeguard Shipping
Saudi Arabia Expands US Military Access as UAE Braces for Prolonged Iran Conflict
Saudi Arabia Expels Iranian Diplomats Amid Escalating Regional Tensions
Saudi Arabia’s Edarat Wins Major Data Centre Deal with Regional Bank
Iran Intensifies Gulf Offensive as Saudi Arabia Intercepts Dozens of Drones
Regional Powers Hold Security Talks as Turkey Seeks New Strategic Pact
Asian Refiners Urge Saudi Arabia to Revise Oil Pricing Mechanism Amid War-Driven Volatility
Gulf States Weigh US Base Access and Military Alignment as Iran War Intensifies
IRGC Claims Strikes on Israel, Kuwait and Saudi Arabia as Conflict Widens
Remains of Fallen Soldier Repatriated Following Death in Saudi Arabia
Saudi Arabia Intercepts Multiple Drones Amid Continued Iranian-Linked Attacks
Iran Tensions Challenge Saudi Arabia’s Strategic Shift to Red Sea Oil Exports
×