The EU is discussing the upper limit of the gas price cap at €220.

EU countries on Tuesday considered the latest proposal to reduce the gas price gap to €220 per MWh, a week ahead of a meeting where they hope to resolve the issue. Several nations, including Europe’s biggest economy, Germany, have opposed the idea of any cap, saying it could make it harder to secure supplies. However, Belgium, Italy, and Poland see it as a way to protect consumers and the economy from the shock of high energy prices. Under a compromise put forward late on Monday by the Czech Republic, which holds the EU’s rotating presidency, the cap would be imposed if prices exceed €220 per MWh for five days on a month-ahead contract at the TTF hub in the Netherlands, reported Reuters. At the same time, the TTF price, which serves as the European benchmark, must be €35 higher than the reference price for liquefied gas, based on numerous existing estimates of LNG prices, for the cap to work.