EU warns energy prices will stay high after Iran war
The European Union has warned that oil and gas prices will remain high even if the Iran war ends soon.
EU Energy Commissioner Dan Jorgensen said there are no immediate supply shortages, but rising pressure on fuel markets and global gas constraints are driving up electricity costs.
He stressed that prices will not return to normal in the near future, even if peace is achieved quickly.
Since the start of the war, gas prices in Europe have risen by about 70% and oil by 60%, increasing the EU’s fossil fuel import bill by €14 billion.
The European Commission is preparing support measures to help households and businesses cope, including possible tax cuts on electricity, an idea backed by Ursula von der Leyen. A temporary “windfall tax” on energy companies is also under consideration.
Jorgensen called for coordinated action across EU countries to avoid market disruption and said new proposals will be announced soon.
He also urged energy-saving measures such as remote work, reduced speed limits and greater use of public transport.
The EU will continue reducing dependence on Russian gas, which has already fallen sharply since the war in Ukraine, with alternative supplies being sought from countries like Azerbaijan, Algeria and Canada.
