A Europe that has too little energy ahead of winter is now being hit by another sharp jump in gas prices. The increase of more than 30 percent in the price of natural gas comes on Monday morning after Russia announced before the weekend that the gas pipeline Nord Stream 1 will be closed. This is written by the news agency Bloomberg. – Stability and security in Europe is about energy. There is no doubt that Putin is pursuing a deliberate and targeted strategy to divide Europe. He will not succeed in that. This is what Oil and Energy Minister Terje Aasland says during a press conference together with Swedish Energy and Digitalization Minister Khashayar Farmanbar in Stockholm on Monday. – We must work together, and detach Putin from the weapon he is sitting on and the warfare he is waging against European countries. An energy war is taking place, he says. Dependent on natural gas In Europe, many countries are completely dependent on natural gas for cooking, heating and power generation. Germany and other European countries have been building gas storage for many months in order to meet the winter with energy in the bank. The warehouses in Germany should now be 86 percent full, according to Gas Infrastructure Europe. The problem is that even substantial gas stocks will only last for less than three months if the Russian gas flow does not return. That is according to Klaus Muller, who is head of the German electricity regulatory authority. Task force Farmanbar and Aasland discussed several proposals in the meeting before the press conference, including one about decoupling gas prices from electricity prices. – It is an exciting proposal, says Aasland to news, which indicates that it is being discussed at European level. During the conference, it will also become known that Norway and Sweden will bring together the Nordic and Baltic countries in a joint task force. The group will work to strengthen the energy security of the Nordic countries and reduce Russian influence. – Sweden, Norway and the Nordic cooperation, including the Baltics, can have fantastic opportunities in the future. I think we will go the furthest if we make the most of it with close and committed cooperation across our countries, says Aasland. Energy warfare It is unclear if and when Nord Stream 1 will eventually reopen. Many see the shutdown as part of Russia’s warfare against Ukraine and Europe. Kremlin spokesman Dmitry Peskov says the West’s sanctions are wreaking havoc on maintenance work on the gas pipeline. This is reported by the news agency Reuters on Monday morning. The gas from Nord Stream 1 goes from Vyborg in western Russia to Lubmin in northeastern Germany. Photo: HANNIBAL HANSCHKE / Reuters A spokesperson for the European Commission says that Russia can compensate for the closed gas pipeline by exporting gas through other pipelines, but that it chooses not to do so. – This demonstrates that Russia uses energy as a weapon, says the spokesperson according to Reuters. Tracks an unpleasant winter Around 30 percent of the natural gas that goes to Europe from Germany goes through Nord Stream 1. – This is very dramatic. Nord Stream 1 has been the pipeline that delivers to the large consumers, on the long contracts to Europe. Historically, it has always delivered what it was supposed to on the agreed contracts, says Ole R. Hvalbye, commodity analyst at SEB. Ole R. Hvalbye, commodity analyst at SEB. Photo: Moment Studio / Moment Studio He says that a great deal of the gas delivered through Nord Stream 1 goes to large industrial companies. Many can get such high costs that it is no longer profitable to operate. – You simply shut down, because what you get for goods and services at the other end is far too little compared to what it costs to produce. That’s the big joker here, and that’s what scares us, says Hvalbye. The analyst predicts high prices for Europe this winter. – It will be very uncomfortable, he says.
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New sharp jump in gas prices – news Urix – Foreign news and documentaries
