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Not its citizens, Elon Musk’s potential $56-billion payday must be defended by Tesla board in court, US wants trade deal with India to put pressure on China. Much of Russia’s power comes from established pipelines used to transport gas to Europe cheaply. Large parts of Russian gas export currently runs across Ukrainian pipelines, which means significant revenues for the Ukrainian state. Europe Washington’s plans to torpedo Russia-Europe gas pipeline will blow up in its face The Biden team is proving no better than Trump, bullying and treating allies as incapable of making their own decisions. Berlin rejects concerns that the project affords Russia too much leverage over Europe’s energy supply. Nord Stream 2 now threatens to burden the transatlantic honeymoon before Europe and the United States can restore their mutual trust. Russian natural gas imported to the EU is mainly used to warm up flats and boiling potatoes in millions of European homes. The construction of North Stream 2 is nearly complete, however, the halt to the work means the project will become more expensive as well as delayed. The EU is becoming an increasingly important market for Russian natural gas supplied through pipelines. Back in the 90s, the pipeline supplied oil to the energy-hungry western regions of the Soviet Union. However, the Ukraine has managed to distance itself from Russian gas in later years, Arild Moe points out. It involves the construction of two pipelines with a total capacity of 55 billion cubic meters of gas per year, spanning from the Russian coast to Germany and further on to other European customers through the Baltic Sea. Because there are both historical, political and economic reasons why one does not want to be that dependent on one single energy supplier, Godzimirski points out. This project, which is almost complete, aims to deliver more natural gas from Russia to the EU. Following American sanctions affecting the project before the end of 2019, the opening of the pipeline has been postponed towards the end-of-year 2020. The European Union and leaders of several European nations are expressing displeasure and distrust over the planned construction of two new Russian pipelines to deliver natural gas … Can you spare a buck? Nord universitet The next major pipeline bringing additional Russian gas to Europe is expected to be the North European Pipeline (NEP) running from Vyborg in north west Russia via the Baltic Sea to Germany and potentially on to the UK (Map 7). “The reactions against the pipeline project are understandable and dependent on the countries. This year, Russia provided record supplies of gas to the European market to meet the region’s growing demand. That means that Nord Stream is key to Europe’s sustainable development and energy security. At the same time, Europe has increased its export of Russian natural gas since 2013 by 40 percent, according to figures from the book “The Globalization of Russian Gas”. In 2018, Russia exported 243 billion cubic meters of gas through pipelines. The Nord Stream 2 pipeline being built between Russia and Germany is one of Europe’s most politically controversial projects. In this Nov. 11, 2018 file photo a ship works offshore in the Baltic Sea on the natural gas pipeline Nord Stream 2 from Russia to Germany. Facebook fails to pay $50 fine in Russia, Russia & China stockpiling gold because ‘they can read the writing on the wall’ – Peter Schiff, JP Morgan makes it clear to staff that Taiwan & Hong Kong are part of China, Why China believes the World needs the new Silk Road: Beijing's ambitious mega-project explained, What’s the future of digital currencies and FinTech regulation? 4 - 12+ Subjects. Read and decide Join EUobserver today Become an expert on Europe Get instant access to all articles — and … Map: Oil and gas pipelines from Russia to Europe. North Stream 2 runs alongside with the existing gas pipeline North Stream from the Gulf of Finland to the North German city of Lubmin. Russia now accounts for about a third of Europe’s gas supplies, TAP will be followed by several projects intended to decrease dependence on Russian gas, including the Baltic Pipe - … Gazprom Pipelines in the FSU. Norway. Geography. US President Donald Trump has been promoting American LNG to edge Russia out of the EU gas market, while Poland has ambitions of becoming a major European LNG hub. We can observe that most of the gas come from Russia, Norway and the Maghreb. It carries oil some 4,000km from the eastern part of European Russia to Ukraine, Belarus, Poland, Hungary, Slovakia, the Czech Republic and Germany. However last week, the European Court of Justice (ECJ) ruled to limit Russian gas giant Gazprom’s access to the Opal pipeline in eastern Germany. A pipeline will be built between Italy and Cyprus in 2025, it will be called Eastmed. On 21 December last year, President Donald Trump approved American sanctions against companies involved with the construction of the pipeline. Copyright © 2018 High North News. These political issues can for instance be that one supplier gets a too large part of the market. All rights reserved. Subscribe to RT newsletter to get stories the mainstream media won’t tell you, Washington & Warsaw make pact to obstruct Russia’s Nord Stream 2 gas pipeline, Fair enough: WTO ruling welcomed by both sides in case made by Russia over EU energy market access, Ukraine resumes oil transit to European consumers via Druzhba pipeline, Ukraine sees significant cuts in Russian gas transit, Russia’s $75 trillion in resources is why sanctions are impossible, Made-in-China diamonds ready to rock global market, China to develop drought & flood resistant farmland in area bigger than Spain, Putin promises special preferences for companies investing in Russia’s Arctic, Greetings, Earthlings! The largest gas exporter to the European market, Russia, has been providing natural gas supplies to Europe for more than 50 years. This website uses cookies. March 24, 2021 This equals one third of the accumulated EU import. 39 percent of the EU’s total gas import in 2017 came from Russia, according to figures from Eurostat. "We have seen mysterious accidents reshape the European energy landscape in 2009, when an unexplained blast destroyed a portion of the Turkmenistan-Russia pipeline, ending exports of Turkmen gas to Europe. The German-backed Nord Stream pipeline is “a Russian geopolitical project intended to divide Europe and weaken European energy security”, the US secretary of … Strained relationships between the EU and Russia due to the Ukrainian crisis have forced Gazprom – Russia’s state gas monopolist – to abandon the idea of controlling pipelines from ‘wellhead to burner tip’. ), Gazprom’s TurkStream project could strengthen Russia’s foothold in the European energy market, … And when it comes to pipeline gas, there are not many alternatives besides Russia. Critics fear that Europe is making itself too dependent on Russia when the new North Stream 2 gas pipeline system is ready later this year. Secretary of State Mike Pompeo announced the administration is ending grandfather … The production of natural gas in EU states dropped with 8.1 percent from 2017 to 2018, according to statistics from Eurostat. German Chancellor Angela Merkel has repeatedly reminded her European neighbors that Germany and Europe bought gas from Russia even at the height of the Cold War. Another one of Russia’s main natural gas export pipelines is the Uregoy – Pomary – Uzhorod pipeline, which passes through Ukraine and from there … However, Germany – Europe’s biggest economy – remains firm as Nord Stream 2’s strongest backer, insisting that the pipeline will ensure the continent’s energy security. The USA considers the pipeline a threat to the market position of American LNG. The EU and three member states have backed a plan for Israel to reduce Europe’s gas dependence on Russia. According to Merkel, Germany will not abandon the construction of the Russian gas pipeline. But some nations, particularly the US, Poland and the Baltic states, still insist Europe can do without Russian energy. However, the internal gas production is decreasing, which increases the need for import. “The current situation is different from what it was only five years ago. The pipeline’s construction started in 1994 and in 2006 Yamal-Europe reached its design capacity of 32.9 billion cubic meters. The construction of North Stream 2 is nearly complete, however, the halt to the work means the project will become more expensive as well as delayed. Another political issue is the fact that North Stream in the longer run will lead to Ukraine making less money from Russian gas exports. With opposition to it growing, the future of the pipeline is in doubt. The U.S. has long opposed the 750-mile pipeline, arguing it will leave Europe overly dependent on Russia for energy supply and extend President Vladimir Putin's influence over … European capitals are fully aware that Russia repeatedly has used gas as a political tool towards both neighbors like the Ukraine and Belarus. The construction of a new pipeline system, North Stream 2, along the seabed of the Gulf of Bothnia will strongly increase Russian gas export to Europe. Nabucco & Caspian Pipeline. It insists the pipeline will help Germany meet growing demand for energy as it phases out coal and nuclear power. The country also exported 24 billion cubic meters of so-called LNG; liquefied natural gas. nord-stream2.com The new pipeline will run alongside the already constructed … Each pipe segment is 12 meters long and weighs 24 tons. After the project stalled at the final stages due to US sanctions at the end of 2019, Russia had to work to finish the route on its own. It has become an additional export corridor that has increased the flexibility and reliability of Russian gas supplies to Western Europe. Nord Stream 2 is the new Gazprom-led infrastructural project that has aroused more controversy in the EU. The … The Yamal-Europe and the Nord Stream (as well as its extension) gas pipelines have been built as alternative routes to guarantee stable supplies to the EU. They are placed on the Baltic Sea bed, one by one, from Russia to Germany, in order to increase capacity for exporting Russian gas to the European market. The first gas pipeline to establish direct Russian energy supplies, Nord Stream, was opened in 2011. High North News is an independent newspaper published by the High North Center at the Nord university. Photo: North Stream, The Swiss operator placing the pipes on the seabed stopped working immediately upon the USA’s announcing sanctions against North Stream 2 just before the end of 2019. Here is a map with the main gas pipelines connected to the Europe. This article was originally published in Norwegian and has been translated by HNN's Elisabeth Bergquist. West Siberia. Russia was the largest supplier of natural gas to the EU, both in 2018 and 2019, according to the latest EU data. Russian natural gas imported to the EU is mainly used to warm up flats and boiling potatoes in millions of European homes. The picture shows unloading of the pipe modules weighing 24 tons. The background for the construction is simple: The need for import increases while European countries simultaneously produce less gas. Russia is the world’s second-largest producer of gas, second only to the USA. Russian gas pipeline to Germany sows divisions in Europe and beyond Activists occupy a German pipeline in Wrangelsburg, northern Germany, on Thursday, occupying a … One of the longest and biggest oil pipeline networks in the world, Druzhba was put into operation in 1964. BERLIN (AP) — The company building a disputed Russian-German underwater gas pipeline that’s been the target of U.S. sanction threats said work on it has resumed, the German news agency dpa reported Sunday. Nord Stream 2 benefits the economies of Germany and Europe since the price of Russian pipeline gas is 20% lower than that of U.S. LNG, according to Putin. “European gas consumption has not increased much over the past few years. Nevertheless, the gas pipeline is related to a series of important political issues”, says Godzimirski. For years, gas pipelines bringing Russian gas directly to Germany, circumventing East European land, has been a challenging political issue for the EU, and one that has created division amongst past allies. It plans to complete the pipeline by the end of the year or in early 2021. High North News “When you buy a crucial product from a country, you make yourself dependent on that country both economically as well as politically, to some extent. 29 Jan 2015, 05:30 Russia's gas pipelines to Europe by 2018 Russia's gas giant Gazprom intends to completely abandon gas supplies to Europe through Ukraine after … Opal, which is located in Germany and has the capacity to deliver 36 billion cubic meters annually, is a key element for the transportation of natural gas directly from Russia through the Nord Stream pipeline and its future expansion, the Nord Stream 2. Countries like Poland and Lithuania are now campaigning on behalf of Washington for Europe to purchase “expensive American [Liquefied Natural Gas] instead of cheap Russian gas,” Laughland explained to RT. Kazakhstan. Prices for Russian blue fuel are much more competitive than US LNG, and far less risky than deliveries sourced from Africa. By comparison, Norway exported approximately 120 billion cubic meters in 2018. In 2018, Russia exported 243 billion cubic meters of natural gas. Stay on top, click here for our weekly newsletter: The production of natural gas in EU states dropped with 8.1 percent from 2017 to 2018, according to statistics from. For more stories on economy & finance visit RT's business section. Boom Bust explores…, India may become winner in US-China trade war, Do you know who owns all the land in Canada? Gazprom’s new grand vision in Europe is to build pipelines to the EU border and from there its clients are expected to take gas to their home markets. The average understanding will be that both Russia and the EU will be completely dependent on each other in the North Stream project. The network also branches out into numerous pipelines to deliver its product throughout Eastern Europe and beyond. Export Terminals. He refers to gas prices today being regulated through the spot market. 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