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Europe Is Bracing for a Brutal, Cold Winter

relates to Europe Is Bracing for a Brutal, Cold Winter

Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

European governments are scrambling to avert a full-scale energy crisis after Russia’s last-minute decision to halt gas deliveries through the key Nord Stream pipeline indefinitely. With a winter of unaffordable energy bills, rationing and blackouts looming, energy ministers meeting Friday will consider unorthodox measures to rein in soaring prices, ranging from gas-price caps to a temporary suspension of power derivatives trading, according to a draft document we’ve seen. The bill for governments is also mushrooming as they seek to keep energy providers solvent. Nordic authorities moved to bolster the liquidity of utilities struggling with collateral requirements, citing the risk of a Lehman-like moment in energy markets. In Germany, the government presented a 65 billion-euro package of support for households and companies, financed in part by tapping windfall profits generated by energy firms.