STRASBOURG, FRANCE / RankWire.AI / – European Commission President Ursula von der Leyen proposed a more centralised system for joint EU energy purchasing as the bloc faces sharply higher fuel costs. She said a new task force would bundle energy demand across member states and appoint a market operator to handle joint procurement. The plan would move the bloc beyond its current system of matching buyers and sellers. Von der Leyen announced the measure during a European Parliament debate before the European Council meeting scheduled for October 15 and 16.
Von der Leyen said European gas prices have risen 140% since the end of February, while diesel prices have doubled. She said higher imported fossil fuel costs have added about €100 billion to Europe’s bill without increasing the amount of energy received. The Commission plans to extend a temporary state aid framework for industrial sectors that face the greatest pressure. It also supports targeted help for vulnerable households. Von der Leyen cited energy voucher schemes in France and Romania as examples of that approach.
The Commission is also pairing the procurement proposal with measures aimed at energy supply and refining. G7 members agreed on October 2 to release 100 million barrels through the International Energy Agency over four months. The plan calls for a substantial diesel release during the first 20 days. The Commission will also give exporters an additional year of flexibility under EU methane rules. Von der Leyen said the step would reduce extra costs during the current period of market strain.
Supply coordination moves to the fore
The European Commission will launch a strategic dialogue with European refineries to address costs and supply needs. Energy Commissioner Dan Jørgensen and Defence Commissioner Andrius Kubilius will chair the talks. Von der Leyen said the dialogue would also cover supplies needed for defence. She also pointed to wide differences in national energy markets. Electricity can cost about €145 per megawatt-hour in one member state and about €70 in another, depending on the energy mix.
The new procurement task force builds on joint EU energy buying measures introduced after Russia sharply reduced gas deliveries in 2022. At the time, the EU pooled demand and brought European buyers together to help secure supplies. Von der Leyen said Russian gas accounted for 45% of EU gas imports at that stage. She said the share has now fallen to 12%. The Commission aims to reduce Russian gas imports to zero by the end of 2026 under its current energy policy.
Electrification remains central to EU plan
Von der Leyen also linked the short-term response to the EU’s longer-term shift toward domestic clean electricity. More than 70% of EU electricity now comes from clean domestic sources, including renewables and nuclear power, she said. Wind and solar produced more electricity than all fossil fuels combined last year. Europe added more than 80 gigawatts of renewable capacity during that period. However, generation projects equal to about six times that amount are still waiting for grid connections.
Electricity currently accounts for less than 25% of final energy consumption in the European Union. The Commission’s electrification action plan targets roughly twice that share by 2040. Von der Leyen said greater electrification could cut annual fossil fuel imports by as much as €260 billion. The Commission plans further measures to support that shift in the coming months. EU leaders are also due to discuss rising energy prices, supply security and broader economic pressures at their October 15 and 16 meeting.