British Prime Minister Tony Blair and German Chancellor Angela Merkel recently renewed calls for more coherence on energy issues which have intensified after a Russia-Ukraine gas dispute temporarily cut supplies to Europe earlier this year.

Concerns about any use by Russia of its vast oil and gas reserves for political purposes plus the global surge in oil prices has focused EU governments on the need to reduce their reliance on foreign sources of fuel.

Official predictions show the EU's import dependence could grow to 70 percent of general energy consumption by 2030.

The paper, entitled "Secure, Competitive and Sustainable Energy Policy for Europe," explores diversifying EU supply "by fuel, by source and by supply route", establishing ways to intervene if specific EU nations face energy crises and acting together when addressing the rest of the world on energy issues.

Internally, the EU should become a global leader in research and development of energy sources with low emissions of carbon dioxide (CO2). It should also remain "the most energy efficient region in the world" and work hard to ensure gas and electricity customers can choose between suppliers.

The paper, drawn up by Commission energy experts, makes few concrete proposals, reflecting the difficulty in forming a common vision from a patchwork of energy policies that many EU states consider sovereign matters.

NEUTRAL ON NUCLEAR

In addition to an already successful EU "dialogue" with Russia, the paper suggests adopting cooperation pacts with "other key producer and transit partners of the EU, notably our Eastern neighbours, the Caspian Basin, Central Asia, Southern Mediterranean, the Middle East and the Gulf region."

The paper took a neutral stand on nuclear energy, calling for a "transparent and objective debate" on its role and saying the costs and advantages should be spelled out.

"However an EU debate must not impinge on the sovereign right of member states to decide in this area," it said.

On energy efficiency, the paper said the Commission was studying a system to track energy savings through tradable certificates, and it urged the bloc to promote energy savings worldwide.

The paper said a "road map" may be needed to reduce Europe's dependence on imported oil by way of energy efficiency in the transport sector and using different types of fuel.

It revisited the controversial issue of EU oil stocks, which could be made more readily available for emergency release and more transparent by regular publication of stock levels.

It also questioned whether Europe's gas stocks would be sufficient if an emergency disruption to supply occurred.

The paper said 820 billion euros ($973 billion) of plant and infrastructure investments would be needed over the next 20 years. EU grants and loans could have more focus on energy security, it said.

The report also renewed a call to improve connections between EU countries for gas and electricity. "For a real European electricity and gas market to develop, the electricity and gas grids have to function as European grids," it said.