EU considers energy price cap, windfall tax amid Russia risk

The risk of further disruptions to Russian natural gas supply are increasing as Europe prepares for a tough winter

The EU has already agreed to seek alternative sources of gas, boost the share of renewables, bolster gas storage requirements and set a voluntary demand reduction cut to help survive the winter without blackouts. Picture: Andrey Rudakov/Bloomberg.

The EU is considering various measures to intervene in the energy market, including price caps, reducing power demand and windfall taxes on energy companies as surging prices threaten the economy and push households toward poverty.

The risk of further disruptions to Russian natural gas supply are increasing as the region prepares for a tough winter, according to Mechthild Woersdoerfer, senior energy official at the European Commission.