Feb 10 (Reuters) - The European Union must act to cut electricity prices to safeguard the competitiveness of its industry, the prime ministers of Austria, the Czech Republic and Slovakia said on Tuesday ahead of a summit on strengthening the bloc's economy.

EU leaders will meet for an informal summit at a Belgian castle on Thursday to discuss ways to compete with global rivals such as China and the U.S.

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The Czech Republic and Slovakia have pushed for policies to lower energy prices to support their industry-heavy economies, and have been particularly critical of the cost of allowances that companies receive, or must buy, to cover their carbon output under the EU's Emissions Trading Scheme (ETS).

"If there is nothing else but one informal conclusion on Thursday, that we will lower electricity prices, I will consider this summit a great success," Slovak Prime Minister Robert Fico told a news conference after talks with his Austrian and Czech counterparts in Bratislava.

Austrian Chancellor Christian Stocker said natural gas prices were the key driver of power costs and should be addressed.

Czech Prime Minister Andrej Babis has been lobbying other governments to support capping the price of carbon allowances under the current ETS1 scheme and delaying the ETS2 scheme, which will extend costs to household heating and motor fuels.

An internal document seen by Reuters on Tuesday showed the EU is considering a different overhaul of the system of free CO2 permits for industries to align it with the bloc's 2040 emissions-reduction target.

The European Commission presentation shows Brussels is weighing three options to revamp the current ETS system of giving industries some free CO2 permits. That system reduces their overall pollution costs and helps them compete with foreign firms that do not pay for their emissions.

German Chancellor Friedrich Merz and Italian Prime Minister Giorgia Meloni will press at the summit for a coordinated EU strategy to support businesses, attract investment and strengthen the single market.

https://www.reuters.com/sustainability/boards-policy-regulation/eu-must-cut-power-prices-be-competitive-central-european-leaders-say-2026-02-10/