London Daily

Focus on the big picture.
Monday, Jun 23, 2025

Disagreements and delays: EU leaders punt on energy plans

Disagreements and delays: EU leaders punt on energy plans

Attention now turns to a formal EU leaders’ summit on October 20 and 21.

EU leaders left myriad questions unanswered Friday as they concluded a summit in Prague, delaying final decisions on combating sky-high energy prices to future meetings.

Friday’s gathering — which lasted much longer than anticipated, reflecting the deep divisions among countries over how best to bring down energy costs — made no concrete progress on a series of proposals, including a controversial gas price cap.

While technically the summit was an informal gathering — meaning the leaders could only make deals in principle — the continuing energy discord emphasized the scale of the challenge facing European leaders. And with Russia only escalating the war in Ukraine, the factors driving up prices show no signs of abating.

European Council President Charles Michel, who chaired the meeting, defended the work being done, calling it “useful” to have informal meetings without the pressure to make decisions. That allows leaders, he said, to suss out “what are the different opinions, the different sensitivities.”

Yet so far, the only agreement seems to be that they need to find an agreement.

“There is a common will for a common approach,” Michel said. “We need solid EU cooperation.”

Despite that, no one can agree on what that “common approach” should be.

The stalemate is placing an intense focus on the formal EU leaders’ summit on October 20 and 21. The European Commission confirmed it will present more proposals before the gathering, leaving member states jockeying for influence.

Some countries want to reimburse people for gas payments above a certain price. Others want to simply limit the price EU countries could pay for gas purchases. Still others have sought a mix-and-match of these ideas.

There have also been intense discussions about whether to raise joint EU debt to cover people’s spiraling energy costs. But German Chancellor Olaf Scholz kiboshed that idea at a press conference Friday afternoon, insisting previous EU pandemic recovery funds could still be redirected.

Scholz’s rejection is likely to rankle those already frustrated with Berlin’s decision to unveil a €200 billion fund to subsidize ballooning energy bills. Some EU countries have grumbled that the move is thinly veiled state aid destabilizing the bloc’s single market and leaving poorer countries in the cold.

German Chancellor Olaf Scholz said previous EU pandemic recovery funds could be redirected


Without mentioning Germany directly, Czech Prime Minister Petr Fiala, whose country holds the rotating EU presidency and who was hosting the meeting, issued a warning.

“We need to comply with state aid rules,” he said. "We can’t have national solutions only. We need European solutions.”

Similarly, European Commission President Ursula von der Leyen, herself a German politician, said: “We have to keep our single market together and avoid fragmentation.”

Scholz has repeatedly stressed that the €200 billion would stretch over the next two years, arguing that meant the amount was not bigger than what other countries like France were doing.

Then there was the escalating spat between Germany and France over the MidCat pipeline, which would help deliver gas from the Iberian Peninsula via France to Germany and beyond.

France has opposed the project, arguing it would take too long to relieve the current crisis and would merely perpetuate a reliance on fossil fuels. Germany disagrees with the timeline and argues it could help ameliorate Europe’s energy crunch.

French President Emmanuel Macron was evasive at his press conference when asked whether conversations had improved between France and Germany by the summit’s end.

It is France’s role, he said, to “unite opposing views when there are tensions” — a reference to criticism over Germany’s €200 billion fund.

“On MidCat, it is a pipeline between France and Spain that runs in the Pyrenees,” he added, portraying the decision as an environmental one. “So it’s not a disagreement between France and Germany.”

Before the leaders even got to these heated disagreements, they also had to tackle another fraught subject: Ukraine.

Ukrainian President Volodymyr Zelenskyy addressed leaders again via videolink — his second time in two days after appearing before a broader slate of European leaders on Thursday.

He urged the leaders — again — to commit more weapons to Ukraine, a sore subject for EU countries like Germany and France facing pressure to up their arms shipments.

“I understand — all of us would rather spend the money we spend on armaments on completely different goals — peaceful goals, social needs,” he said. “But who and what will be able to protect such goals and such needs?”

Speaking after the summit, Michel underlined the EU’s support for Ukraine. But there were few details about an EU plan to step up its help for Kyiv.

Von der Leyen did indicate the EU must up its financial support. The topic is yet another point of tension within the EU, as countries squabble over how to structure the €9 billion in financial aid the bloc has promised Ukraine.

“We will have to establish a very structured approach,” she said, emphasizing the need for “predictability — predictability of financing.”

Newsletter

Related Articles

0:00
0:00
Close
Starmer Invites Innovators to Join Government Talent Scheme
UK Economy’s Strong Opening Quarter Shows Signs of Cooling
Harrods Seeks Court Order to Secure Al Fayed Estate for Victims
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
Labubu Doll Drives Pop Mart to Status as China’s Most Valuable Toy Maker
Global Coal Demand Defies Paris Accord Goals
We have new information and breaking details to share about what is shaping up to be a historic air campaign tonight
Six Massive Bombs Dropped on Fordow; Trump: 'A Historic Moment for the U.S., Israel, and the World'
Fordow: Deeply Buried Iranian Enrichment Site in U.S.–Israel Crosshairs
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Pakistan to nominate Trump for Nobel Peace Prize.
BBC Demands Perplexity AI Immediately Stop Using Its Content
Telegram Founder: I Will Leave My Fortune to Over 100 of My Children
Political Turmoil Resurfaces in Belgium Amid Economic Concerns
Fed policymakers divided on timing of interest rate cuts
Trump signals imminent agreement with Harvard University
Inheritance tax referendum alarms Swiss billionaire community
Japan cancels bilateral security meeting amid US defence demands
AI skeptic Emily Bender warns that ‘the emperor has no clothes’
Israel Confirms Assassination of Quds Force Commander in Tehran
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
FBI and Senate Investigate Allegations of Chinese Plot to Influence the 2020 Election in Biden’s Favor Using Fake U.S. Driver’s Licenses
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
Plans to Sell Dutch Embassy in Bangkok Face Local Opposition
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump's $5 Million 'Trump Card' Visa Program Draws Nearly 70,000 Applicants
DGCA Finds No Major Safety Concerns in Air India's Boeing 787 Fleet
Airlines Reroute Flights Amid Expanding Middle East Conflict Zones
Elon Musk's xAI Seeks $9.3 Billion in Funding Amid AI Expansion
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Taiwan Imposes Export Ban on Chips to Huawei and SMIC
Israel has just announced plans to strike Tehran again, and in response, Trump has urged people to evacuate
Netanyahu Signals Potential Regime Change in Iran
Juncker Criticizes EU Inaction on Trump Tariffs
EU Proposes Ban on New Russian Gas Contracts
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
UK Home Secretary Apologizes Over Child Grooming Failures
×