Energy Disruption from Russia to EU

  • Created by: ZoeCouch
  • Created on: 14-01-19 22:34
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  • Energy Disruption from Russia to Europe
    • Background
      • Western part of Europe- becoming increasingly dependent on Russia's gas supply
      • Dependency on Russian gas is increasing Russian development, political power and foreign currency.
      • Russian gas export pipelines pass through former soviet states such as Ukraine and Belarus.
      • EU gets a quartet of gas supplies from Russia (80% of which pass through Ukraine)
      • Tensions between Ukraine and Russia since 2004 when pro-Western forces won control of Ukrainian government.
    • What Happened?
      • 2006- Russia shut off gas supplies to Ukraine and Poland for 4 days. This caused gas supplies in France and Germany to fall by 20-30%
      • 2009- gas shut off for 13 days causing European countries to question reliability of primary gas supply.
      • 2009- Russia accused Ukraine of siphoning off gas meant for European customers
      • EU called supply cut 'unacceptable', demanded immediate restoration and entered into shuttle diplomacy between Kiev and Moscow.
      • 2009-Russia and Ukraine failed to agree on prices Russia would pay Ukraine for gas transit to europe.
      • 2009-Ukraine and Russia failed to agree on prices Ukraine should pay for gas supply.
    • Impacts
      • EU countries had to find alternative energy sources, and shut industrial plants and domestic heating systems down
      • Schools shut and some had to revert to log fires to heat their home
      • Areas like Bosnia, Serbia and Bulgaria are almost entirely dependent on Ukraine supplies so left with major shortages during very cold spell.
    • Future?
      • Plans for Nordstream pipeline should increase energy security for northern europe
      • South stream and Nabucco pipelines run through politically troubled areas so risk to these lines is high.
      • EU questioning role of Russia as primary energy supplier
      • EU fear Russia will 'name its price' for gas, and with lack of alternative resources, countries will have to pay more for gas.
      • UK domestic gas production peaked 2010; now declining. May have to rely on gas imports, so with increased demand Russia could charge more for gas.


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