While the federal government has been unable (or unwilling) to support the road transport sector in light of the sudden increase in diesel prices, there could be a coordinated response from the European Union itself. Yesterday an important step was taken in that direction.
Following a proposal from the Cypriot EU Presidency, Transport Ministers assessed the impact of events in the Middle East on the transport sector and agreed that road transport is one of the sectors most affected by fuel price volatility, with a direct impact on logistics chains across Europe. They highlighted that rising fuel costs and price volatility are already putting significant pressure on carriers, impacting supply chains, and pointed out the need to maintain resilient transport networks, secure supply chains and avoid fragmented national responses.
“This is an important step towards a coordinated EU response to rising fuel costs and market volatility,” said Raluca Marian, director of the IRU for the European Union, who had called for an urgent and coordinated discussion at EU level. “From the beginning of the crisis, we have consistently stressed the need for a coordinated response, with a central role for the Commission. The question now is how these commitments will translate into concrete support for carriers on the ground.” The Commission is expected to present its crisis plan and associated measures in the coming days.
Ministers also stressed the need for targeted and temporary measures, in particular the use of State aid and regulatory flexibility, while ensuring proportionality and a level playing field across the internal market. They also emphasized the importance of ensuring security of fuel supply.
