EU's Reported EUR 200/MWh Power Price Cap Positive for Utilities; We Prefer RWE and Engie

As the energy crisis deepens, an emergency meeting between European Union energy ministers will be held on Sept. 9. A key topic will be the implementation of a power price cap to funnel nongas power producers' windfall profits to consumers. According to the Financial Times, the European Commission is mulling a cap of EUR 200 per megawatt-hour.