eu more dependent on russian gas
Last Updated : GMT 09:40:38
Themuslimchronicle, themuslimchronicle
Themuslimchronicle, themuslimchronicle
Last Updated : GMT 09:40:38
Themuslimchronicle, themuslimchronicle

Despite Bid To Diversify

EU more dependent on Russian gas

Themuslimchronicle, themuslimchronicle

Themuslimchronicle, themuslimchronicleEU more dependent on Russian gas

EU more dependent on Russian gas
London - Muslimchronicle

Despite repeatedly vowing to reduce its energy dependency on Moscow, Europe is more reliant on Russian gas than ever before -- and there are few signs of this trend reversing.

Russian gas giant Gazprom said this month it had completed record deliveries towards Europe and Turkey in 2017 at a total of 193.9 billion cubic metres -- eight percent higher than its previous record, set in 2016.

This result was not only a financial victory for the company, whose exports are its main source of profit, but also a political one at a time when diplomatic relations between Russia and the European Union are at their worst since the Cold War.

The numbers "show the increasing demand from European countries for Russian gas, but also the reliability of these deliveries in the required amount," Gazprom's chairman Alexei Miller said.

Deliveries to Germany and Austria reached a historic high and exports to France rose by 6.7 percent compared to 2016, according to Gazprom's figures.

Brussels set goals to diversify its energy sources following a series of gas crises between Moscow and Kiev that affected deliveries to Europe. But the percentage of Russian gas in Europe has only increased in recent years and now represents a third of the total gas consumption in the EU.

That goal was reinforced by tensions between Brussels and Moscow following the start of the Ukrainian crisis in 2014 that led to fears of Moscow using its gas leverage for geopolitical means.

Meanwhile, diversification became easier to achieve with the development of the market for liquefied natural gas (LNG), which is transported by ship rather than pipelines, allowing for the import of supplies from Qatar and even the United States.

However a number of factors have worked to push up consumption of Russian gas.

According to Valery Nesterov, an oil and gas analyst at Russian bank Sberbank CIB, EU demand for gas is rising due to "economic recovery" in Europe and thanks to gas prices being "more competitive" than those of coal.

Other reasons pushing up demand include cold winters, the decline of European (mainly Dutch) gas output and the closure of nuclear power plants, such as in Germany.

If Nesterov envisages a possible reduction of Russian exports to EU this year after record results in 2017, he nonetheless says the general tendency will not change: "Gazprom will likely keep its market share in the EU."

- 'Schizophrenia' -

Strong European demand has allowed Gazprom to increase production after weak results in recent years due to a decline of its market share on its home market and the loss of Ukraine, an important client which stopped buying Russian gas in 2015.

Gazprom is also looking to develop new pipelines with the support of major European companies to maintain its part in the market. But the EU is wary.

Brussels blocked South Stream, a Russian project to ease exports to southern European nations, and has been resisting other projects such as TurkStream, a pipeline planned via Turkey, and North Stream 2, via the Baltic Sea, which Gazprom justifies as necessary for the increased European demand in the future.

"A sort of schizophrenia exists between Europe's diplomacy and its market. The market chooses the cheapest gas to produce and use in Europe, which is Russian gas. Europe is said to be too dependent but nothing has been done to change this," said Thierry Bros, researcher at the Oxford Institute for Energy Studies.

"We could say that the speed limit signs are in place but they are ineffective because there is no speed check. There are mechanisms for regulation but there is nothing to verify that they are respected," he added.
 
And Russia is not content with just pipelines. The country recently took a major step into the LNG market by launching the Yamal LNG terminal in the Arctic, financed by Russian gas producer Novatek with the help of France's Total. The Yamal project will supply both Europe and Asia via sea routes.

Diversification for the EU is prevented by a simple obstacle, said Thierry Bros: it "requires additional costs and the question is: who is going to pay?"

source: AFP

themuslimchronicle
themuslimchronicle

GMT 07:31 2018 Tuesday ,16 January

UK construction firm Carillion collapses

GMT 10:12 2018 Friday ,12 January

Brexit could cost nearly 500,000 UK jobs

GMT 09:43 2018 Monday ,01 January

Chinese ban on ivory sales goes

GMT 07:57 2017 Tuesday ,26 December

Don’t panic! Oil price outlook improves

GMT 09:36 2017 Tuesday ,12 December

markets extend rally on jobs data
Themuslimchronicle, themuslimchronicle
Themuslimchronicle, themuslimchronicle

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

eu more dependent on russian gas eu more dependent on russian gas

 



Themuslimchronicle, themuslimchronicle

GMT 06:40 2017 Saturday ,16 December

Walker needs brains not just brawn

GMT 08:15 2017 Thursday ,07 September

US oil giant ExxonMobil plans Cyprus gas exploration

GMT 18:11 2011 Monday ,18 April

Zimbabwe and Zambia in tug of war over Vic Falls

GMT 16:05 2017 Tuesday ,31 October

Qadih calls for involving private sector

GMT 09:20 2017 Wednesday ,15 November

Qualcomm spurns $130 bn Broadcom bid for big tech tie-up

GMT 13:43 2017 Tuesday ,24 October

Stabbed Russian journalist 'in recovery'

GMT 10:26 2017 Friday ,14 April

Sock topples Haas to reach ATP Houston quarters

GMT 14:00 2017 Saturday ,25 November

Sudan condemns terrorist attack in Egypt

GMT 09:40 2017 Monday ,04 December

Stade down Racing, Clermont edge plucky Agen

GMT 08:08 2017 Thursday ,05 October

Injury jinx strikes again as Iordache exits

GMT 11:20 2017 Tuesday ,05 December

Prodigal son: Saleh Saudi overture tips Yemen balance

GMT 09:35 2013 Saturday ,31 August

Afghan suicide attack kills 6, hurts 20 in south

GMT 23:36 2016 Sunday ,11 December

Suicide attack in Istanbul claims 29 lives

GMT 18:29 2013 Sunday ,10 November

Samsung\'s Galaxy Note 3 top 5m

GMT 14:52 2013 Sunday ,24 November

Computer game opponents begin to think, feel alike

GMT 18:55 2012 Wednesday ,02 May

8 Secret guy insecurities

GMT 19:27 2012 Thursday ,10 May

How to win over your boss

GMT 18:27 2012 Sunday ,29 April

Why I\'m better off without a baby

GMT 13:40 2012 Friday ,25 May

Sharnoubi to make documentary on singer Warda

GMT 12:58 2014 Friday ,28 November

Incredibly small apartment in Paris

GMT 00:44 2011 Sunday ,25 December

Modern glass house

GMT 10:51 2011 Tuesday ,05 July

Dior loses its way without creative director
Themuslimchronicle, themuslimchronicle
Themuslimchronicle, themuslimchronicle
 
 Themuslimchronicle Facebook,themuslimchronicle facebook  Themuslimchronicle Twitter,themuslimchronicle twitter Themuslimchronicle Rss,themuslimchronicle rss  Themuslimchronicle Youtube,themuslimchronicle youtube  Themuslimchronicle Youtube,themuslimchronicle youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2023 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2023 ©

muslimchronicle muslimchronicle muslimchronicle muslimchronicle
themuslimchronicle themuslimchronicle themuslimchronicle
themuslimchronicle
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
themuslimchronicle, themuslimchronicle, themuslimchronicle