The cabinet may also use the clawed-back mega-profits of energy companies to subsidize small entrepreneurs in agriculture or greenhouse horticulture. The European Commission says that the governments of EU countries are largely free to decide how much they allocate for support to households or to small and medium-sized enterprises.
To enable targeted support for major gas users, the European competition and state aid rules are being reconsidered. Brussels says unusual times call for unusual solutions. Recently, most fertilizer factories have almost completely halted their production, and increasing numbers of entrepreneurs in the Dutch greenhouse horticulture sector are scaling back due to the extremely high gas prices.
Climate Commissioner Frans Timmermans and Energy Commissioner Kadri Simson announced their proposal for an EU energy emergency package on Wednesday in Strasbourg. This essentially means that all EU countries will HAVE to redistribute the windfall profits of their energy companies.
EU citizens are also expected to save at least five percent on energy consumption. In addition, the EU will accelerate the transition to sustainable energy (more solar and wind energy).
Vice-President Timmermans pointed out in an informal press conversation with Dutch reporters in Strasbourg that the Dutch are already quite advanced within the EU in reducing their electricity and gas usage. The European Parliament supports the proposal to accelerate the use of renewable energy and reduce energy consumption.
A majority voted on Wednesday to increase the use of renewable energy sources. By 2030, 45 percent of total consumption must be renewable. The transport sector must reduce greenhouse gas emissions by sixteen percent with the help of innovation. In industry, sustainable energy use must also increase annually.
There has recently been much debate about cutting down trees for so-called biomass, which causes deforestation. Members of the European Parliament therefore adopted amendments to gradually exclude most woody biomass fuels from being counted as renewable energy.