EU to push for Adriatic gas pipeline
Brussels, 5 Jan. (AKI) - The European Union is considering building a new gas pipeline on the Adriatic coast that would deliver gas to Europe from the Middle East and North Africa to reduce the bloc's dependence on gas from Russia via the Ukraine. The move was triggered by the panic that ensued in recent days when Russia - which provides about one-quarter of the EU's natural gas, most of which arrives via a grid of pipelines across Ukraine - turned off supplies to Ukraine amid a pricing row, causing sharp drops in deliveries to EU countries.
The European Commission will carry out a feasibility study on the mooted Adriatic pipeline by March, Hungarian economics minister Janos Koka announced late Wednesday. Central and Eastern European countries are particularly vulnerable to Russian gas supply disruptions. Hungary imports 81 percent of its natural gas supplies from Russia: only Estonia, Lativa and Lithuania import more (100 percent).
Moscow and Kiev struck a deal early on Wednesday, under which Russia wil be paid 230 dollars per 1,000 cubic metres for the gas it exports to Ukraine, up from the 50 dollars it was paid until now. But after mixing in gas supplies from the central Asian republics of Turkmenistan and Kazakhstan, Ukraine will pay an average gas import price of only 95 dollars per 1,000 cubic metres.
But some EU politicians are sceptical the accord will hold and are concerned over the implications of the bloc's reliance on Russia to meet its energy needs, and the implications not only for gas but oil and electricity supply. The EU's energy group has also asked the European Commission to produce a green paper on energy policy for the Austrian EU presidency's first summit in March.
Austria - which assumed the presidency of the EU from Britain on 1 January - has stated that Russia has been a "reliable" energy partner for over 40 years. But Germany, which currently gets some 44 percent of its gas imports from Russia, compared with an average 34 percent for the EU's 25 members, is concerned by this week's event. Energy will be high on the agenda during German chancellor Angela Merkel's visit Moscow on 16 January, the government has indicated.
The European Commission will carry out a feasibility study on the mooted Adriatic pipeline by March, Hungarian economics minister Janos Koka announced late Wednesday. Central and Eastern European countries are particularly vulnerable to Russian gas supply disruptions. Hungary imports 81 percent of its natural gas supplies from Russia: only Estonia, Lativa and Lithuania import more (100 percent).
Moscow and Kiev struck a deal early on Wednesday, under which Russia wil be paid 230 dollars per 1,000 cubic metres for the gas it exports to Ukraine, up from the 50 dollars it was paid until now. But after mixing in gas supplies from the central Asian republics of Turkmenistan and Kazakhstan, Ukraine will pay an average gas import price of only 95 dollars per 1,000 cubic metres.
But some EU politicians are sceptical the accord will hold and are concerned over the implications of the bloc's reliance on Russia to meet its energy needs, and the implications not only for gas but oil and electricity supply. The EU's energy group has also asked the European Commission to produce a green paper on energy policy for the Austrian EU presidency's first summit in March.
Austria - which assumed the presidency of the EU from Britain on 1 January - has stated that Russia has been a "reliable" energy partner for over 40 years. But Germany, which currently gets some 44 percent of its gas imports from Russia, compared with an average 34 percent for the EU's 25 members, is concerned by this week's event. Energy will be high on the agenda during German chancellor Angela Merkel's visit Moscow on 16 January, the government has indicated.
posted by Marko at 1/07/2006 02:47:00 PM
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