By Kate Abnett

BRUSSELS (Reuters), – European Union energy ministers meet Thursday to discuss how they will respond to the rising prices of electricity and gas. There is still disagreement over which countries should address this price increase, as well as whether or not to overhaul current rules.

As tight gas supplies and high demand from countries recovering after the COVID-19 epidemic, European energy prices rose to new records in autumn. Although gas prices have fallen slightly from their October record highs, they are still high.

EU member countries have failed to agree on a solution for high-priced goods despite multiple meetings between ministers and leaders in recent months.

Germany, Denmark (the Netherlands), and six additional countries issued a joint statement Wednesday to oppose other governments’ attempts to reform EU energy markets.

According to countries, price caps and the switch to a new system of setting national electricity prices can discourage international trade and weaken incentives for low-cost renewable energy.

Spain, France, Poland, and Poland all support reforms. These measures include curbs to financial speculators’ participation on the EU carbon markets or joint gas purchasing among countries.

Many EU nations have implemented temporary, national measures in order to safeguard consumers from rising bills. This includes energy tax cuts or subsidies for household members.

Commission stated that it would study long-term benefits and requested regulators to examine whether EU’s electric and carbon markets function properly.

The EU agency for cooperation of energy regulators published a preliminary report last month that did not find major problems with current power market structure. The EU’s Securities Watchdog also found no evidence of abuse in the EU Carbon Market.

In addition, ministers will evaluate progress on negotiations to establish tougher EU goals to expand renewable energy and improve energy efficiency in the next decade.

In the negotiations, it is possible that the EU’s “sustainable financing taxonomy”, which was developed by the EU, may be discussed. Countries are currently awaiting a decision by the Commission on the labeling of gas and nuclear power as green investments. This decision will likely come early in this month.