European Union leaders are preparing for a further reduction in gas supplies from Russia, seeking ways to cushion the effects of the unprecedented crisis, as well as a surge in energy prices, on the region’s economy.
The impact of Russia’s invasion of Ukraine and its use of energy as a weapon forced its way into a meeting of EU leaders on Friday, after cuts in shipments from Moscow affected 12 member states and pushed Germany to raise its gas-risk level to the second-highest “alarm” phase.
The supply situation is pushing up the cost of electricity across Europe, fueling inflation and increasing the economic burden on businesses and households still recovering from the pandemic. The nervousness in energy markets is exacerbated by uncertainties over what the next move by the Kremlin will be. Luxembourg’s prime minister, Xavier Bettel, said the decision on whether or not to turn off the gas tap was exclusively in the hands of Russia’s President Vladimir Putin.
Russia’s move to tighten the grip on supplies comes as Europe is trying to fill up gas reserves before the next heating season, which usually starts around October. The bloc’s gas storage was 55% full on June 22 compared with the five-year seasonal norm of 57% for this time of year. The goal is to reach 80% by Nov. 1 to avoid problems during the winter.
But the chancellor dismissed Russia’s narrative that the recent reduction of gas flows through the pipeline by 60% was caused by technical problems linked to the maintenance of turbines. “Nobody trusts those technical arguments that are being brought forward there,” Scholz said.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
IKEA leaves the door open for return to RussiaOwner is keeping its malls open though it has closed all furniture outlet's stores
Read more »
GEOPOLITICS OP-ED: By their friends shall ye know them — South Africa and RussiaSouth Africa’s friendship with Russia bodes badly for a future driven by long-term Western-sourced investments, and more towards one defined by a party-state developmental model, favouring party security and privilege over the national interest — or at least as the national interest.
Read more »
WAR IN EUROPE: Why Russia sees Kaliningrad as a new strategic flashpointQuite suddenly, Kaliningrad — formerly East Prussia, the Russian enclave fronting on the Baltic Sea and bordering Lithuania and Poland — has become a new Eastern European crisis point as Kaliningrad’s supply lines from Russia are being constricted by Lithuania in accord with Nato and EU strictures. The Russians are going to be very angry about this.
Read more »
Russia seeks new fuel markets in Africa, Middle East as Europe turns awayRussia is increasing gasoline and naphtha supplies to Africa and the Middle East as it struggles to sell fuel in Europe, while Asia is already taking bigger volumes of Russian crude, Refinitiv Eikon data showed.
Read more »
Russia accuses West of lying about world food crisisForeign ministry says it is sanctions against Russia that are responsible for shortages
Read more »