Geopolitics of energy

Europe Ends Russian Gas Reliance as Ukraine Transit Halts

Europe’s reliance on Russian natural gas, once a cornerstone of its energy infrastructure, is definitively ending as Ukraine halts its transit. This dramatic shift marks a significant geopolitical turning point, leaving Europe to confront both economic and political ramifications.

The sheer irony of the situation is palpable. Remember the bold pronouncements from Gazprom, suggesting Europe would freeze without Russian gas? That prediction has aged poorly, to say the least. Now, the concern shifts to the possibility of sabotage against Ukrainian pipelines, highlighting the inherent vulnerability of relying on a single, politically unstable supplier.

The revelation that Europe continued purchasing Russian gas despite its vocal condemnation of other nations doing so is striking.… Continue reading

Europe’s End of Cheap Russian Gas: Economic Fallout and Geopolitical Shifts

Russia’s gas transit through Ukraine will cease on January 1st, 2024, marking the end of a long-standing energy relationship. This closure, coinciding with the expiration of a transit deal, has minimal expected market impact due to Europe’s diversification of gas sources following the Ukraine war. While the EU’s reduced reliance on Russian gas caused economic challenges, including inflation and a cost-of-living crisis, alternative suppliers have mitigated potential disruptions. The pipeline’s closure carries significant geopolitical weight, reflecting Russia’s diminished influence in the European energy market and Gazprom’s substantial financial losses.

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