The energy price surge that started in 2021 is taking place as the world emerges with difficulty from the Covid-19 pandemic and faces the impacts of extreme weather conditions due to climate change. Both, aggravation of climate change and higher energy prices can significantly amplify poverty and inequality. As part of its price stability mandate, the European Central Bank (ECB) has an important role to play: managing inflation by supporting a clean energy transition in the European Union (EU).