The measure would be temporary and target virtually all gas transactions in Europe
Brussels is exploring an emergency mechanism aimed at curbing the price of natural gas by setting a cap on transactions on the Dutch Title Transfer Facility, Bloomberg reported on Sunday, citing a draft proposal from the European Commission.
According to the report, the EU plans to set a maximum “dynamic price” at which gas transactions on the hub can take place. Its main index, the TTF, is a benchmark for all gas traded in the bloc.
The measure would allow Brussels to intervene in cases in which gas prices reach extreme levels, while not hurting supply, the document said. The emergency price cap is expected to last no longer than three months.
“This will help avoid extreme volatility and price hikes, as well as speculation which could lead to difficulties in the supply of natural gas to some member states,” the document stated. The list of measures…
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