Meloni Urges EU Budget Flexibility Over Energy Crisis

Italian Prime Minister Giorgia Meloni has urged the European Commission to relax budget rules for countries struggling with rising energy prices. In a letter to Ursula von der Leyen, she argued that energy security should be treated in the same way as defense spending.

Meloni said the European Union had already allowed greater budget flexibility in response to the war in Ukraine and efforts to strengthen defense capabilities. She argued that similar exemptions should apply to support households and industry facing a new energy crisis.

“We cannot explain to our citizens that the EU allows financial flexibility for security and defense, but not to protect families, workers and businesses from a new energy crisis”, the prime minister wrote.

Rome also suggested that without greater flexibility, it could reconsider its support for the SAFE program, the European Union’s €150bn ($163bn) joint defense funding mechanism.

Italian Defense Minister Guido Crosetto said on 14 May that he had already asked the finance ministry for clarification on whether Italy would participate in the program. He added that Rome has until the end of the month to decide.

Italy has the second-highest debt-to-GDP ratio in the European Union after Greece, limiting the government’s ability to provide large-scale support under current budget rules.

(euronews, bak)