In Brussels, the European Commission has launched a policy package dubbed "AccelerateEU", a toolbox designed to manage energy market shocks and fuel shortage risks. The Commission stated that Europe's energy system has remained resilient despite global disruptions, but warned that price spikes and fuel scarcities continue to pose significant threats across the bloc.

EU Energy Commissioner Dan Jorgensen, at a press conference, described the situation as "a wake-up call and a turning point", urging Europe to accelerate its shift away from fossil fuels. He added that even if a diplomatic resolution is reached between Iran and the United States, the crisis's effects are likely to persist for years, highlighting the long-term challenges faced by the EU.

The proposed measures include reducing taxes on electricity to incentivize clean energy adoption, speeding up the transition to homegrown renewable sources, coordinating gas purchases to avoid price hikes, a fertilizer action plan for supply diversification, and loosening subsidy rules to allow states to cover up to 50% of price increases since the war began. The Commission noted that the EU has spent an additional €24 billion on energy imports due to rising prices, emphasizing that these higher costs come without any extra energy supply.

An immediate concern is jet fuel availability ahead of the summer travel season, with the EU importing around 40% of its jet fuel, half of which transits the Strait of Hormuz. The Commission stressed the need to maximize Europe's oil refining capacity to meet demand, particularly for jet fuel. Transport and Tourism Commissioner Apostolos Tzitzikostas downplayed fears of widespread flight cancellations, but revealed that Brussels is considering increased imports from the United States and mandatory minimum jet fuel reserves for member states, underscoring the ongoing vulnerabilities in the bloc's energy security.

Source: www.dw.com