Oil and gas prices have risen since the U.S.-Israeli strikes on Iran, creating a price shock similar to the energy crisis Europe experienced after Russia invaded Ukraine in 2022. The European Commission has called for EU-level coordination to prevent market fragmentation and reduce the need for intervention. However, European governments are cautious about implementing costly policies that may be unnecessary but difficult to implement. The Commission proposed that short-term measures could include support for the most vulnerable households, encourage energy savings, and two-tier pricing for electricity or natural gas. It also suggested that lower electricity taxes could be used to reduce budget revenues at a time when most EU countries already struggle with high debt and slow growth.