STRASBOURG, FRANCE / RankWire.AI / – European Commission President Ursula von der Leyen has put forward a plan for a more unified approach to joint energy purchasing across the EU as fuel prices soar. She outlined the creation of a new task force to coordinate energy demand among member states and appoint a market operator responsible for managing collective procurement. This initiative aims to advance beyond the existing system of individual buyer-seller matching. Von der Leyen announced this measure during a European Parliament session before the European Council meeting scheduled for October 15 and 16.
Von der Leyen highlighted that gas prices have surged by 140% since late February, with diesel costs doubling. She pointed out that increased fossil fuel imports have added approximately €100 billion to Europe’s energy bill without boosting energy supplies. The European Commission intends to extend a temporary state aid framework aimed at sectors under the greatest pressure, along with targeted assistance for vulnerable households, citing energy voucher programs in France and Romania as examples.
In addition, the Commission is coupling the procurement proposal with measures targeting energy supply and refining. On October 2, G7 nations agreed to release 100 million barrels through the International Energy Agency over four months, with a focus on significant diesel releases in the initial 20 days. The EU will also grant exporters an extra year of flexibility under methane regulations. Von der Leyen stated this step would help lower additional costs amid current market pressures.
Focus shifts to supply coordination
The European Commission will initiate a strategic dialogue with refineries to address costs and supply needs. Energy Commissioner Dan Jørgensen and Defence Commissioner Andrius Kubilius will lead these discussions. Von der Leyen emphasized that the dialogue would also cover supplies for defense purposes. She noted stark disparities among national energy markets, with electricity prices varying from about €145 per megawatt-hour in some countries to €70 in others, depending on energy sources.
The new procurement task force expands on previous joint EU energy purchasing efforts, launched after Russia sharply cut gas supplies in 2022. At that time, the EU pooled demand and unified European buyers to secure supplies. Von der Leyen reported that Russian gas made up 45% of EU imports then, but this has decreased to 12%. The Commission’s goal is to eliminate Russian gas imports entirely by 2026 as part of its current energy strategy.
Electrification continues to be a core element of EU policy
Von der Leyen connected the short-term measures with the EU’s long-term focus on expanding domestic clean electricity. She stated that over 70% of EU electricity now comes from renewable and nuclear sources. Last year, wind and solar generated more power than all fossil fuels combined, with over 80 gigawatts of renewable capacity added. Nevertheless, projects amounting to roughly six times that capacity are still waiting for grid connection.
Electricity represents less than 25% of the EU’s final energy consumption. The Commission’s electrification plan aims to double this share by 2040. Increased electrification could reduce annual fossil fuel imports by as much as €260 billion. The Commission intends to introduce additional measures in the coming months to support this transition. EU leaders are also set to discuss rising energy prices, security of supply, and economic challenges at their meeting on October 15 and 16.