Tuesday, June 17, 2014

Gas for Russia - a political weapon, and termination of deliveries to Ukraine - "pugnacity" and "blackmail", decided in the West

On Monday and Tuesday, European and American media went with titles devoted to another “gas war” between Russia and Ukraine. The general tone of publications reflects the position that Russia is using energy resources for political pressure, if not Europe, the Ukraine accurately. InoPressa made a compilation of views on the gas conflict in foreign editions.


“Russia cut off gas supplies to Ukraine, to put pressure on the EU” – says the title Spanish edition of El Mundo. According to the newspaper, this way Russia and Kiev tend to avoid settlement of the conflict between them and again to shift the settlement in the EU.


“Russia seeks to EU responsible for the debt and Ukraine’s actions just as, according to Moscow, contributed to the growth of anti-Russian sentiment among the Ukrainian population,” – said in the article.


Putin remains the master of the situation in Ukraine and possibly achieve that EU reluctantly stand on his side to secure gas supplies, the newspaper concludes.


Gas for Russia - a political weapon, and termination of deliveries to Ukraine - "pugnacity" and "blackmail", decided in the West


“Shut off gas to Ukraine – it’s pugnacity, is blackmail to force Kiev authorities to kneel before the negotiations begin as a general ceasefire in clashes in the pro-Russian areas of the east” – believes the Spanish edition as ABC. According to the paper, it is also an open challenge to the West.


The EU must take a firm and reasonable position to negotiate, but not succumb to blackmail. “For this, there is something potentially stronger than any army specific measures to reduce energy dependence on Russian gas”, – the newspaper writes. The publication reports that Spain is ready to contribute to these measures, due to its strategic location and the pipeline linking it with Algeria, “provided that the work on connecting to the European network to accelerate and multiply.”


Moscow pricing formula


Moscow, of course, has the right to earn as much money from the sale of gas from Ukraine and collect debts for already delivered “blue fuel”, writes the German Frankfurter Allgemeine. Seller desire to sell their goods more expensive clear, as well as a desire to bring down the price for the buyer. Can understand and distrust towards Russia Ukrainian buyer: over the past 20 years Kiev often behaved frivolously and showed himself faulty payer.


And no one could blame the Russian side for heavy negotiations with Kiev, the journalist continues, if she is not driven itself in the awkward position of having started to use gas as a political weapon. After the Kremlin pricing formula towards Ukraine is simple: “The smaller the Kiev authorities give Russia the right to a formal or informal influence what is happening in Ukraine, the higher the price of gas.”


Russia is not interested in a fair business journalist continues, and it can be seen, in particular, by the fact that it is best to negotiate it turns with Ukrainian leaders who are themselves involved in an opaque gas business and derive from it a profit. If the power in Kiev, people come with the installation of transparency, Moscow always has difficulties. Thus, negotiations on gas supplies to Ukraine – Moscow another front in its war with the Ukrainian democratic movement, in line with which it had already annexed the Crimea and began supplying tanks separatists in eastern Ukraine, the article says.


Russia and Ukraine are interested in maintaining supplies for political reasons


“At first glance, the dispute was about a lot of unpaid bills totaling $ 4.5 billion, which, according to” Gazprom “, owes Ukraine – says the U.S. The New York Times. – However, the gas conflict is rooted in two broader controversial situations. “


The first and most important one – is the escalation of clashes in eastern Ukraine between separatists and Russian devotees Ukrainian army. “But it’s not gas. This – the general plan for the destruction of Russia Ukraine”, – said in a statement, the Prime Minister Yatsenyuk.


“Secondly,” Gazprom “has caused anger in Europe for its economic plans to build an alternative pipeline under the Black Sea for its exclusive use, in violation of European laws on free access. This put into question the future of the project, known as the” South Stream “- said in a article.


“Gazprom”, which is the last 10 years trying to convince the Europeans that he – a reliable supplier, not a weapon of Russian foreign policy, describes the dispute as purely commercial “- the author Neil Makfarkhar.


As recalled by NYT, Russia has twice overlapped gas to Ukraine in 2006 and 2009, both times in the middle of winter. “Analysts say that if you choose to dispute a month on gas supplies in June better option is not found. There is a low demand, and with the mild winter in Europe, most countries have accumulated substantial reserves,” – said in the article.


And the head of “Gazprom” Alexei Miller and Ukrainian side argue that Ukrainian gas reserves will be enough for the summer and early autumn. “What’s more important, Ukraine is obliged by contract to continue the transit of gas through its territory to Europe, Russia said it reduces only the part of the supplies which are intended Ukraine,” – emphasizes Makfarkhar.


“According to Miller, if Ukraine will start producing gas from siphoning off European supplies, Russia may increase shipments through the pipeline” Nord Stream “, which runs under the Baltic Sea to Germany,” – says the publication. However, according to Laszlo Varro, Head of Gas, Coal and Electricity of the International Energy Agency, at least a third of deliveries still need to carry through Ukraine.


“Both Ukraine and Russia are interested in maintaining supplies – concludes Makfarkhar. – Ukraine is trying to become an economic ally of Europe – 27 June she will sign an association agreement, and after the Russian annexation of the Crimea does not need a new source of tension, which can cause Western sanctions” .


Gas prices in Europe increased due to the “gas war”


Gas prices in Europe jumped on the background of fears of Russian-Ukrainian “gas war,” according to Financial Times.


Analysts say that the Ukrainian gas pipeline now plays a less important role than in previous crises, thanks to the new infrastructure, such as the “Nord Stream”. “Europe is also well endowed with these gas reserves amounting to approximately 52 billion cubic meters, a record high for this time of year,” – said in the article.


“However, if Russia will stop all supplies to Ukraine, including gas, which goes through the country, Europe will face its deficit” – the author notes Neil Hume. Then she would be forced to buy more expensive liquefied natural gas to balance supply and demand, says Thierry Brault, an analyst at Société Générale.



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