As European policy makers rush to find fixes to the spiraling energy crisis, liquidity is becoming one of the most pressing issues.
(Bloomberg) — As European policy makers rush to find fixes to the spiraling energy crisis, liquidity is becoming one of the most pressing issues.
Uniper SE, a German utility that depended on Russian gas, said late Monday that its government backstop would run out this month and the state was set to provide more. The Swiss government has granted energy firm Axpo a credit line.
When EU energy ministers meet in Brussels on Friday, deploying “emergency liquidity instruments” is one of the key items on the agenda pushed by the Czech presidency.
Key Developments:
- Germany moved to keep two nuclear plants on standby in a policy reversal
- France and Germany agreed to help each other through the winter
- Truss drafts £130 billion plan to freeze UK bills
- Uniper may need even more funds from Germany
- UniCredit, Intesa earmark billions for energy crisis
Swiss Government Grants Axpo Credit Line (7 am)
The Swiss government has granted energy company Axpo a credit line of up to CHF 4 billion ($4.1 billion). The company, which produces and trades renewable energy, asked for the credit line but hasn’t used it yet.
Centrica Seeks Extra Financing, FT Says (6:30 am)
UK utility Centrica is talking to banks to secure billions of pounds of extra credit, the FT reported.
It’s a pre-emptive move, made in the context of growing collateral demands, the paper said.
Read more: Can Europe’s $375 Billion in Relief Keep Households Warm Enough?
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