Brussels plans to require EU governments to set electricity reduction targets and provide guarantees for long-term business contracts, as part of reforms to the bloc’s power market after the energy crisis.
The initial proposals, seen by the Financial Times, have been prompted by the record high prices that consumers across the EU faced last year as a result of Russia’s steady cutting of energy supplies to Europe.
Under the EU’s current energy market design, electricity prices are tied to gas prices, which meant the squeeze on gas supplies also pushed up electricity costs.
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