But even if the bloc's 27 member countries reach agreement on the plan, to enforce it they must overcome rising costs and uncertainties linked to power market reforms triggered by the price surge linked to war in Ukraine. As energy prices have increased all costs, including of the materials needed for renewable infrastructure, investment models built on low prices for renewably-produced electricity are in doubt. RECORD PRICES, EXTREME UNCERTAINTYFar-reaching inflation, driven by expensive energy, has led governments to seek to cap wholesale energy costs and consider reforming markets after years of stability. The wholesale benchmark German baseload front year electricity price hit a record above 1,000 euros per megawatt hour (MWh) on Aug. 29. Beyond the short-term fixes, the EU plans a major overhaul of its electricity market to decouple the price of electricity from the price of gas.

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