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ENERGY & ENVIRONMENTAL TRANSFORMATIONS

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A. DAGOUMAS

Figure 2. Maps of likely supply interruptions at the end of the 6-month Russian gas supply

disruption scenario in cooperative and non-cooperative scenarios among EU Member States

during a cold spell, source: ENTSOG

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and European Commission, COM/2014/654

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Besides, the aforementioned communications on Energy Security and Climate Change,

the European Commission has also published a Communication to the European

Parliament and the Council, the European Economic and Social Committee and the

Committee of the Regions on Energy prices and costs in Europe, aiming at identifying

any energy inefficiencies in the European energy system

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. The main impetus for this

study has been the mounting pressure by European consumers and more particularly

the industrial sector for significant energy cost reductions. The evolution of shale oil

and gas in the USA, and the stricter environmental standards in the EU have raised

doubts about the competitiveness of the European economy. The Commission strongly

supports the completion of the internal energy market and the further development of

energy infrastructure. It considers that because of EU market liberalization, industry

(particularly SMEs) and household consumers can already reduce their prices by chang-

ing to better tariff regimes with existing suppliers or by switching to cheaper energy

suppliers, where suppliers are sufficiently numerous. To keep energy costs in check,

households and industry in Europe can improve their energy efficiency and adopt de-

mand response and other novel energy technologies and innovations to save energy

and money. More specifically for industrial competitiveness, the Commission has sug-

gested that fiscal transfers, exemptions and reductions in taxes and levies could be a

means of protecting certain industrial consumers from higher energy costs, provided

they are compatible with state aid rules and internal energy market rules.

12. ENTSOG, SC GRIP 2014-2023, Southern Corridor Gas Regional Investment Plan.

13. European Commission, COM/2014/654, Communication from the Commission to the European

Parliament and the Council on the short term resilience of the European gas system Preparedness for a

possible disruption of supplies from the East during the fall and winter of 2014/2015.

14. European Commission COM/2014/15, Communication from the Commission to the European

Parliament and the Council, the European Economic and Social Committee and the Committee of the

Regions on A policy framework for climate and energy in the period from 2020 to 2030.