European Union leaders are urgently seeking measures to address rising energy costs after Iran targeted energy infrastructure in Qatar and Saudi Arabia, sending Brent crude prices higher and European gas rates soaring.
The Strait of Hormuz, through which a fifth of global oil and liquefied natural gas flows, has effectively been closed, leaving Europe highly exposed to volatile energy markets and unexpected price shocks.
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Belgian Prime Minister Bart De Wever warned that structural increases in energy prices could pose serious long-term economic risks. Meanwhile, the EU is pursuing low-carbon energy production to reduce reliance on imported fossil fuels.
Short-term fixes are proving difficult as EU member states have diverse energy mixes and national tax policies. Some diplomats warned that no “magic solution” exists to offset immediate spikes resulting from regional disruptions.
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Draft conclusions from the summit instruct the European Commission to present a toolbox of targeted temporary measures, including possible adjustments to the emissions trading system, tax cuts, or state aid for struggling industries.
Leaders remain divided over weakening the EU carbon market, balancing urgent relief against long-term climate goals. Dutch Prime Minister Rob Jetten emphasized that critical policies must remain intact to ensure a greener and stronger Europe.