ROME, June 30. /TASS/. Introduction of caps for oil and gas prices is an extremely challenging task and can only lead to further increase of energy prices, President of Italy-based Nomisma Energia consultancy Davide Tabarelli told TASS.
"It is extremely challenging to set oil and gas price caps. There have been no such precedents before and it is very dangerous," the expert said. Any restriction will entail reduction of investments in the sector, Tabarelli noted. "I want the $20 cap but who will invest with such price? The shortage in investments has already been observed and this will eventually affect entire global oil production. This leads to production cuts, supply lowering and potentially to a new round of price increases," he added.
If such a measure is introduced, it can only be temporary by nature, Tabarelli said. "And there is a need to consider whether it can cover Russian feedstock only," he added.