If the reconstruction of the Polish government happens next week and the Minister of Climate and Environment will be replaced, it will take place at the worst possible moment, undermining Poland’s position in the debate on Europe’s response to the energy crisis – writes Wojciech Jakóbik, editor-in-chief BiznesAlert.pl.
Government to be reshuffled during the energy crisis talks
The reshuffling did not take place on Wednesday, October 19, contrary to what has been suggested unofficially by representatives of the government. The interia.pl portal has recently reported that the changes were postponed to next week due to the absence of President Andrzej Duda who is visiting Lithuania, and the fact that the Polish Prime Minister is now participating in the EU meeting in Brussels. BiznesAlert.pl has acquired the feedback the member states contributed to the statement of the Council on the measures to combat the energy crisis presented by the EC. This is the subject of negotiations at the summit of the Council of the European Union on 20-21 October.
According to the original proposal, the Council is to call on member states to take action to regulate energy prices, taking into account their specific situation. Malta is facing the biggest challenge, because it is an island and thus remains dependent on imports of energy and gas. The council fears that without swift action, the energy crisis could wipe out the economic recovery. This country demands immediate action using certain EU instruments. The Commission and the Council are to consider medium-and long-term measures that will increase Europe’s energy resilience and ensure the success of the green transition. The European Investment Bank is to accelerate investments in this area, including in reducing the risk of supply disruptions and increasing connectivity in Europe. The topic will be discussed at the extraordinary meeting of the ministers of transport, energy and telecommunications of the European Union (TTE Council) scheduled for October 26.
Member states are proposing different solutions to tackle the energy crisis. There is a growing club of interventionists who want a strong response from the EU institutions and a review of the existing policies. The Czechs propose tax changes, but shy away from calling the transition green and instead propose a statement on energy transition and the use of low-carbon technologies in addition to renewable ones. Bulgaria calls for re-discussing the Fit for 55 package. Croatia calls for a fair and efficient transition towards climate neutrality with respect for technological neutrality. Lithuania wants to reduce fluctuations in CO2 prices, diversify supply sources and develop the common market. Spain wants to stabilise energy prices and combat speculation in the carbon market. Romania calls for a reduction in dependence on energy imports and greater use of own raw materials, as well as for a fair transition. It also demands that the phrase „green” be removed. Slovakia wants to support generation capacity to ensure the stability of the electricity system, it wants to delete the green transition clause and the clause on climate neutrality by 2050. Hungarians want to limit fluctuations in energy prices, but also CO2 emission allowances, increase energy security, as well as open a deeper discussion on the Fit for 55 package based on the assessment of the member states. They take a step further and demand an ETS directive that would „ensure affordable energy prices”. They demand a report on the transparency of the EU ETS, an assessment of the gas market and the inclusion of gas and nuclear energy in the EU taxonomy. Malta is in the worst situation, and is not hiding it. „We have no other option than to find an immediate, specially designed solution that will ensure that there will be no serious disruption to our economy,” the country pleaded in a statement. However, there is also another club – one whose members want to restrain the appetites of the interventionists. Austria and Germany do not want to abuse the resources of the European Investment Bank to combat the energy crisis by abandoning the provision on the use of the institution’s reserve capital, which other countries do not have a problem with. Holland wants to integrate new solutions into the existing energy market framework. Belgium calls for a European Union intervention at the World Trade Organization to come up an international response to the energy crisis. Denmark has practically no comments.
Poland without a minister?
In this light, Poland’s proposals can be seen as one of the more radical ones. The Poles demand a revision of the Fit for 55 package and of the EU ETS, which would include „fighting against speculation”. They also want a new fund with additional money for the energy transition, as well as – regardless of the position of the EU Council – a second antitrust investigation into Gazprom. Given Poland’s demands in the dispute over Europe’s response to the energy crisis, the country must have a strong negotiating position and a big potential to build a coalition to push for its most ambitious solutions. The revision of the EU ETS can bring together several member states, as can be seen in the comments to the position of the Council of the European Union, but it will be more difficult to assemble a coalition in favor of the Fit for 55 revision or the antitrust investigation against Gazprom. It seems that Poland’s biggest ally in these battles will be Hungary, which has similar demands in relation to climate and energy policy. However, the countries differ when it comes to the aforementioned company from Russia, with which the Hungarian MVM recently signed a new gas contract until 2036.
The probable dismissal of the Minister of Climate and Environment next week could undermine Poland’s negotiating position during the decisive discussion on Europe’s response to the energy crisis. The final decision will not be made at the current Council of the European Union summit on 20-21 October, but a week later, at the meeting of ministers responsible for energy – on October 26. Will Poland have a minister then? The worst-case scenario is a dismissal during the negotiations. Poles have already done this in the past, when the Minister of Environment Marcin Korolec in Donald Tusk’s Government was dismissed during the COP19 conference, which he was hosting…