Macron Says France, Germany Will Cooperate on Joint Gas Procurement Mechanisms

PARIS (Sputnik) - France and Germany will cooperate on joint gas procurement mechanisms in coming years to develop long-term energy purchasing schemes and work on common platforms, French President Emmanuel Macron said on Sunday.

"We have decided to cooperate closely on gas procurement mechanisms in the coming years. We want to create long-term purchasing mechanisms and work on common platforms," Macron told a press conference in Paris after a meeting with German Chancellor Olaf Scholz.

The French leader also said that Germany would join the new H2MED cross-border hydrogen pipeline, expected to connect Portugal, Spain, and France and due to be completed by 2030.

The pipeline would account for 10% of all EU hydrogen, according to Spanish Prime Minister Pedro Sanchez.

In October 2022, the European Commission proposed a new package of measures to fight increasing energy prices, which includes mandatory joint purchases of 13.5 billion cubic meters of gas, which is around 15% of EU states' total gas storage filling obligations.

Under the mechanism, gas companies and firms consuming gas in EU countries should submit their gas import needs, and the EU, on its part, will hire a service provider to calculate the aggregated demand and seek offers from global gas suppliers to meet this demand.

On November 24, EU energy ministers reached a final agreement on the joint gas procurement mechanism.

The EU has been facing a massive energy crisis and struggling to fill its gas reserves in the aftermath of imposing sanctions on Russia after it launched a military operation in Ukraine on February 24. The Ukraine crisis and sanctions have led to disruptions of supply chains and a spike in energy prices worldwide.