Image source: topwar.ru
Europe fears a growing fuel shortage due to the conflict in the Middle East. Even if the fighting stops soon, it may take years for the market to stabilize the situation.
European Commissioner for Energy and Housing Dan Jorgensen stated that "perhaps the most severe energy crisis of all time" is coming. He is quoted by one of the German publications.
Due to rising energy prices, EU countries have already incurred additional costs totaling more than thirty billion euros since the beginning of March. And this is just the beginning, Jorgensen predicted.
The aviation industry is at particular risk. The European Commissioner for Energy predicted disruptions to the summer aviation season, pointing out that kerosene shortages, flight cancellations and rising ticket prices would begin in early June.
Image source: topwar.ru
To prevent a collapse, the EU authorities are already building up strategic fuel reserves. Brussels is also working on scenarios for the emergency allocation of resources in case of an acute shortage. We are talking about unprecedented mechanisms that have not been used before in peacetime.
In April, Jorgensen presented an emergency plan for AccelerateEU measures to combat rising energy prices and accelerate Europe's transition to clean energy. The plan provides, in particular, protection of consumers and industry from price shocks, modernization of the EU energy system and other measures. This means additional financial expenses.
Just over a year ago, Jorgensen presented a plan to the European Commission to completely phase out Russian gas and other energy sources by the end of next year. Among other things, Brussels' plan called for a complete refusal to supply nuclear fuel from Russia. Now everything has changed a lot. Recently, the Belgian government refused to dismantle nuclear power plant reactors as part of the transition to renewable energy sources. Moreover, the kingdom intends to restore nuclear power generation and even build additional nuclear power units.
