Arkab responds to the European Union’s decision to ceiling gas prices – Al-Hiwar Al-Jazaeryia

Minister of Energy and Mines Mohamed Arkab said today, Tuesday, that Algeria does not support the idea of ​​capping natural gas prices in the energy market, stressing that this will directly affect investments in the source.

In response to a question about the European Union’s decision to cap gas prices, Arkab explained that “Algeria does not support the idea of ​​capping prices, whatever the circumstances,” adding that “energy markets must remain free to continue the achievements and investments in the source, and we have agreements with our partners in Europe to supply With energy, especially natural gas, Algeria is a reliable and safe resource for Europe, and we are in full agreement with our European partners regarding long-term prices.

In a speech delivered during the works of the fourth Algerian-German energy day, Arkab considered that large investments in the field of natural gas in the medium and long term need a “clear” vision about the development of markets in Europe, noting that “it is likely that the oil and gas industry will be affected by the legislative changes that Introduced by the European Union, particularly with regard to climate neutrality by 2050 and regulations on methane, and unilateral EU measures such as price caps, which destabilize the market.

He added, “Open, transparent, unrestricted, and non-discriminatory gas markets are more than a necessity, as the development of investments depends on transparent and non-discriminatory legal frameworks supported by clear financial and environmental energy policies in gas-consuming and transit countries.”

And the energy ministers of the European Union countries announced, on Monday, their agreement to set a ceiling for gas prices, which can be activated if standard gas prices jump to 180 euros per megawatt hour, in order to “face the rise in prices at the market level.”

The agreement of European Union ministers will begin to cap gas prices if prices exceed 180 euros / MWh for a period of three days, as of February 15, 2023.