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Andrei Moutchkine

Just in: EU Advocate General: North Stream 2 MAY challenge the Gas Directive, after all?

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Gas supplies via the NS2 gas pipeline are to start soon anyway.

The date of commencement of gas supplies to the European transport system still depends on the decision of the German regulator. So the German regulator (and the whole union) should  stamp it and the gas will flow.

In general, the EU does not want Russian gas.

This is evidenced by the statements of EU and Polish prominent figures as well as the actions of the EU and Poland (imposes sanctions, blocks, does not conclude long-term supply contracts, complains to courts and arbitratiosn).

Gazprom is not really a monopolist. Not only the Russians extract gas. It is also mined by Norway, the USA, Saudi Arabia, Qatar and the UAE.

Are they not making money from the price increase?

The USA, Saudi Arabia, Qatar, UAE do not send LNG to Europe, but redirected supplies to Asia because they pay better there.

Gas prices soared for several reasons:

1. increased gas consumption due to the economic recovery after the pandemic,

2. increased gas consumption due to cold winter (heating and electricity generation),

3. increased gas consumption due to hot summer (cooling and air conditioning and electricity production). Electric),

4. LNG suppliers (USA, Saudi Arabia, Qatar, UAE) redirected loads to more profitable Asian markets ... and the basic question - Do they comply with contracts / contracts?

And finally 5. Gazprom and limited current supplies. But they do fulfill their deliveries and contractual agreements, and that's what business is all about. Nobody can force the trader to sell…. more and this…. at lower prices. Is this not what CAPITALISM and the so-called FREE MARKET is about (is it free?).

The EU, and especially Poland, wanted a free gas market, did not want long-term contracts for gas supplies from Russia, prided itself on the fact that contracts would end and new ones would not be signed (i.e. gas purchases will be on the spot market), finally imposed sanctions and every year extends them and adds new ones.

And now a final surprise that Russia has turned its back from Europe?

She had nothing but a frontline to a much better client called Asia.

So much for all the gas fuss.

Gazprom and Russia have shown ... a non-book example of monopoly - because they are not.

Gazprom and Russia showed IMHO a textbook example of doing good business despite unfavorable "boundary" conditions.

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On 10/16/2021 at 3:38 AM, Tomasz said:

 

In general, the EU does not want Russian gas.

 

That is complete Nonsens. Fact is that EU Countries not the EU as Institution Importe 180-200 Billion m3. Many of those Countries with longterm contracts.

Countries like Poland and the Baltics are economically irrelevant. They don't reach the GDP. together from  tiny Switzerland. There are no other solutions to import those volumes.

Algeria is the next Country with a pipeline but a small one to Spain and a larger one to Morocco and then to Spain. That one is in trouble now. LNG volumes are around 20 Bio m3 thats in the 10% range.

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