Natural Gas: Germany considers LNG imports from Senegal

 With gas supply from russia becoming more precarious and ethically problematic, Germany is scouting around for new sources of supply. On his jorney through several african countries, germany Chancellor Olaf Scholz has explored options of gas exportations of gas from Senegal zu Germany. Climate advocates however find fault with this, WELT:

Senegal has big plans: The West African country wants to use the newly created gap in the gas supply and supply industrialized countries like Germany with liquefied natural gas (LNG) in the future.

According to estimates by the energy company BP, more than 425 billion cubic meters of natural gas are waiting to be extracted off the coast of Senegal and Mauritania. The local enthusiasm is great: “Experts consider the estimated gas resources in Senegal to be world-class. Senegal is on the way to becoming a major gas exporter,” says the Senegalese newspaper Le Quotidien.

Although the country has large gas reserves, it was only the Ukraine war and the move away from Russian gas that really revived hopes of a boom. "The war changed everything," quoted the Washington Post as Mamadou Fall Kane, deputy chief of Senegal's natural resources agency. "Now Europe is knocking on our door."

Because after Africa was asked for years by the European Union, for example, to rely on renewable energies, the energy crisis is now also focusing on fossil fuels again in industrialized countries that want to free themselves from dependence on Russia.

The federal government is also positioning itself: during his trip to Africa in May, Chancellor Olaf Scholz (SPD) campaigned in Senegal for closer cooperation on the expansion of the gas infrastructure. It makes sense to "follow closely" such cooperation, this is a "common concern," Scholz said after talks with Senegalese President Macky Sall in Dakar. "We also want to do this with regard to the LNG issue and gas production here in Senegal."

At first glance, that sounds like a win-win situation: African gas can put Germany's energy supply on a broader footing. In return, Senegal could benefit if liquid gas terminals are built with the technical know-how from Germany.

In reality, however, the project is more complicated.

Gas: tortuous manoeuvering for gas transports between Spain, Morocco and Algeria

 The tensions between Morocco and Algeria on the issue of Western Sahara make gas shipments to a very tricky question. In reason of Spain's support for the moroccon position, Algeria has stopped every gas supply to Spain through the Maghred-Europe Gas Pipeline (MEG) and interdicted all shipments to Morocco from Spain of algerian gas, source Le Monde:

Spain began, for the very first time, to transport gas to Morocco through the Maghred-Europe Gas Pipeline (MEG), assuring that it was not Algerian gas, while Algeria does not supply plus the GME to Spain since the end of October 2021 against the backdrop of the diplomatic crisis.

“On the basis of commercial relations and good neighborliness, yesterday [Tuesday] the first shipment by the Maghreb gas pipeline of LNG [liquefied natural gas] previously acquired by Morocco on international markets and landed in a regasification plant took place. Spain,” sources from the Spanish Ministry for Ecological Transition told AFP.

Spain had announced in February that it would re-export gas to Morocco via the GME, which Algeria no longer supplies to Spain through Moroccan territory since the end of October 2021 due to a diplomatic crisis around of Western Sahara. “A certification process guarantees that this gas [routed from Spain to Morocco] is not of Algerian origin,” the same source told AFP.

Algiers had threatened in April to break its gas supply contract with Spain if Madrid were to transport Algerian gas "to a third destination", an implicit reference to Morocco.

Gas: Italy shifts to Algeria for gas procurement

Eager to divest itself von Russian dependance on natural gas, Italy has switched in a precipitous move to Algeria as a supplier just days after the russian invasion into Ukraine. Italy and especially its energy giant ENI have deep and decade-old ties to Algeria. Even major investements by ENI and acquisitions of BP shares on oil fields are under discussion, Le Monde: 

Algeria is showing a diplomatic upturn with Italy which takes on a particular meaning as Europe is prospecting for alternatives to Russian gas, war in Ukraine obliges. The recent ballets of visits by Italian officials to Algiers, where the red carpet is rolled out at the energy giant Ente Nazionale Idrocarburi (ENI) – already historically well treated – testify to a most cordial atmosphere. Italy had become, in recent years, increasingly dependent on Russian energy supplies (40% of its gas imports, or about 30 billion cubic meters [m3]). It is now more than ever eyeing Algerian gas, while it is imperative for it to diversify its purchases abroad, particularly in the Mediterranean.

The overall economic relationship between the two countries has certainly always been healthy. Italy is Algeria's third supplier (behind China and France) and its first customer (ahead of France and Spain). It is also the first foreign investor, a status due to the weight that ENI represents on Algerian soil. History is a big part of it. The tutelary figure of the historic leader of the company, Enrico Mattei (1906-1962), a Christian Democrat politician who was a great promoter of independent Algeria (who died in 1962 after a mysterious plane crash), has always acted bridge between the two countries.

“ENI is a company considered to be a friend of Algeria, a friend of the Algerian revolution at the time, notes Akram Kharief, Algerian security expert and founder of the Menadefense site. It is very difficult to compete with her. In recent weeks, the glorification in the Algerian press of this memory has reached unprecedented levels. "The esteem for Italy is felt among the people of the people", could we read, on March 30, in an editorial of the official daily El Moudjahid.

The staging, in Algiers, of friendship with Italy does not date from the war in Ukraine. The distinguished welcome reserved in the Algerian capital for the Italian President of the Republic, Sergio Mattarella, during a visit in November 2021, had already sent a first message in the midst of the crisis between Algiers and Paris. The recent Algerian-Spanish turbulence on the Western Sahara issue – following concessions made by Madrid to Rabat – has added to the ambient Italophilia in Algeria. The remarks of the boss of the Algerian public company Sonatrach, Toufik Hakkar, on April 1, evoking the possibility of "recalculating" the price of gas sold to the Spaniards, announce a probable changeover in the long term of part of the supplies from Spain to Italy.

This is fitting, at a time of Rome's strategic shift vis-à-vis Russian gas dictated by urgency. As usual, Italian diplomacy negotiated it in a few hours, with a mixture of agility and pragmatism. Monday, February 28, barely four days after the start of the Russian offensive in Ukraine, the Italian Foreign Minister, Luigi Di Maio, was in Algiers, accompanied in particular by the managing director of the energy giant ENI, Claudio Descalzi, to to assess the possibility of increasing gas imports. In energy matters, Italian diplomacy and ENI are used to moving forward together.

Exploitation of new deposits

In the Algerian case, the calculation is simple. Algeria is the country's second largest supplier (21 billion m³), ​​and the Transmed gas pipeline transporting gas to Sicily – also called the Enrico Mattei gas pipeline – is not operating at full capacity (its capacity is 30 billion m³ per year) . What hope, in the short and medium term, additional deliveries.

The Italian minister's trip to Algiers was only the start of a tour centered on energy issues, which took the head of Italian diplomacy, in March, to Africa, the Arabo-Persian Gulf and Azerbaijan. But Algeria is considered, within Italian diplomacy, with particular attention.

So Claudio Descalzi was back in Algeria on April 3 to meet once again the CEO of the Algerian public energy giant, Sonatrach, ENI's historic partner, to discuss the increases in deliveries in the short term and, at a further afield, the exploitation of new deposits. In particular, it is a question of “accelerating” the implementation of joint projects in the region of Berkine Sud, on the border with Tunisia. According to the Algerian press, ENI is also negotiating the acquisition of assets from British Petroleum (BP) in two major gas projects in In Saleh (Centre) and In Amenas (East). According to unconfirmed information, Sonatrach is also discussing the acquisition of ENI assets in Russia.

Be that as it may, the prospect for Algeria to deliver significant quantities of gas to Italy is long term. In the immediate term, its production and transport potential is limited. "Algeria's ability to offset Russian gas for Europeans is questionable," says Olivier Appert, energy and climate center adviser at the French Institute for International Relations (IFRI). Faced with the aging of its infrastructure and the flight of its domestic consumption, Algeria has in fact suffered from a continuous decline in its gas exports, which have fallen from 64 billion m3 in 2005 to 41 billion in 2020. substantial investments to reverse the curve. ENI and the Italians are in the running.

Gas: Spain positions itself as gas hub; wants to revitalize MidCat pipeline

 In view of the war in Ukraine and the sudden turnaround in gas procurement Spain positions itself as gas hub. Indeed it has a direct gas pipeline to Algeria (Medgaz) and has also the biggest LNG stocking capacity in Europe. Spanish government suggest the reconsideration of the MidCat pipeline (planned from Portugal, through Spain and the Pyrenees to France) that was abandoned in 2019 to compensate the unwelcomed gas from Russia, Le Monde:

While Europe seeks to reduce its dependence on Russian gas, Spain intends to position itself as a strategic "hub" to diversify the continent's supply sources. "We can be an alternative to Russian gas," insisted the Ministry of Foreign Affairs, from the beginning of February, even before the invasion in Ukraine. The idea has since caught on. “With its great energy capacity and its great experience in renewable energies, Spain can and will play an important role in supplying Europe, finally confirmed the President of the European Commission, Ursula von der Leyen, on a visit to Madrid. , March 5. And, for this, we must work in the interconnections between the Iberian Peninsula and the rest of the European Union [EU]. »

LNG: Germany preparing for LNG imports

 With Russia as designated gas provider falling out due to the russian invasion of Ukraine and president Putin's unpredictable behaviour, Germany is carrying out a change in gas import, more precisely turning to US LNG (WELT):

On the high seas, in the middle of the Indian Ocean, the "Minerva Chios" suddenly changed course. The ship came from the USA and was almost there, but then it turned 180 degrees, turning from south-east to north-west. The captain had been assigned a new port. He should no longer head for Asia, as originally planned, but for Rotterdam. Apparently someone in Europe was offering more money for their cargo.

The "Minerva Chios" was loaded with liquid gas or "Liquefied Natural Gas", as it is called in the industry, LNG for short. These three letters have been at the center of world politics since the beginning of the Ukraine crisis. It's about the question of where millions of Europeans should get the raw material with which they heat and operate many of their power plants.

Because Russia, the most important gas supplier for Germany and the entire continent, has made itself an outsider by attacking Ukraine. An unpredictable aggressor who can no longer be trusted. Germany must look for alternatives to Russian natural gas, says Federal Minister of Economics Robert Habeck (Greens), otherwise you will become "a pawn".

Nord Stream 2: german chancellor stops pipeline project in reaction of russian invasion into Ukraine

 WELT:

As a reaction to the Russian actions towards Ukraine, the federal government is stopping the Nord Stream 2 pipeline project. Chancellor Olaf Scholz (SPD ) on Tuesday in Berlin. "And without this certification, Nord Stream 2 cannot go into operation."

Scholz condemned President Vladimir Putin's decision to recognize the self-proclaimed People's Republics of Luhansk and Donetsk as independent states as a serious breach of international law. With his actions in eastern Ukraine, Putin is not only breaking the Minsk Agreement, but also the UN Charter, which provides for the preservation of the territorial integrity and sovereignty of states.

France: France Braces For Blackouts As Gas Stockpiles Dwindle

Oilprice.com: 

The Brits aren't the only European nation to find itself on the verge of a full-blown energy crisis. On Thursday, French natural gas pipeline operator GRTgaz warned that French gas stockpiles are much lower at this point in the year than they have been during years past - and as a result, they run the risk of potentially being depleted before the winter is up, a disaster that could make last year's deep freeze in Texas look tame if a sudden cold snap sends demand soaring.

According to data from Gas Infrastructure Europe, France’s stockpiles were about 34% full as of Feb. 1, which is well below the five-year average of 42%. Inventories are now at the lowest seasonal level since 2018, when a brutal winter cold snap nicknamed "the Beast from the East" left French reserves standing at just 3% when the heating season was over.

"We’ll probably be close to zero toward the end of March, and we remain vigilant on that topic," GRTgaz chief Thierry Trouve said in a presentation in Paris Thursday.

You can read the rest of the piece via the below link:

https://oilprice.com/Energy/Natural-Gas/France-Braces-For-Blackouts-As-Gas-Stockpiles-Dwindle.html

Netherlands: gas orders from Germany lead to discontent in dutch population

 Residents of the Groningen gas field suffer from earthquakes as a consequence of the year-long gas production. Germany however has ordered a higher amount of gas from the field that was bound to be shut down in 2026. The dutch side blame Germany to shift their problems to the Netherlands, hinting at the stagnating certification process of contentious Nord Stream 2 pipeline (WELT):

When René Paas, the Dutch King's commissioner for the province of Groningen, travels to the seat of government in The Hague, every conversation begins with the question: What's the situation with the gas field? That's how he tells WELT on the phone. "Groningen has been associated with the gas production there and the associated problems for years."

Because of gas production, since the 1990s there have been an increasing number of smaller earthquakes that cause damage to residential buildings. In response to the loud protests of the Groningen population, the Dutch cabinet finally decided to initially reduce the subsidy significantly and then stop it in mid-2022. Gas production in Groningen will only continue until 2026 as an emergency solution for cold winters.

A project that Germany is now thwarting. As the “Spiegel” reported, German suppliers have probably ordered 1.1 billion cubic meters more gas for the 2021/22 financial year than planned. In addition, the commissioning of a nitrogen factory, which is to process imported gas for Dutch households in the future, has been delayed.

LNG: The US are a new player in the european gas game

 In view of the tensions between Russia and Ukraine and the menace of a natural gas cut off from Russia and the increased will of several european countries to turn away from russian gas, us-american companies take the baton as a supplier of LNG to Europe, writes french newspaper Le Monde:

It was December 2021 when it appeared that Russia was amassing its troops on the doorstep of Ukraine. Suddenly, the Minerva Chios, an LNG carrier from Louisiana, turned around, while it was in the middle of the Indian Ocean. Direction Europe, via the Suez Canal, with its cargo of American liquefied natural gas (LNG). It was the same for the Maran Gas Vergina, coming from Delaware, which was approaching the Strait of Malacca: it turned around to unload in Turkey. The Marvel Crane, which was going to use the Panama Canal for Asia, headed for Spain. The Old Continent, so dependent on Russian gas, suddenly became attractive and shipowners diverted their cargoes to the best buyers.

EU: EU commission wants to classify nuclear and gas as climate friendly energies

 Right before the release of the EU taxonomy for sustainable activities, also called green taxonomy in january, information got out that the EU commission - pressured by France and Poland - wants to rate nuclear and natural gas as climate friendly energies. Politicians of the Green party are upsed, writes WELT:

The EU Commission wants to classify energy generation from natural gas and nuclear plants as climate-friendly. According to a draft ordinance by the Brussels authority, permits issued for new nuclear power plants by 2045 should come under the so-called taxonomy ordinance and construction should be subsidized accordingly. For new gas infrastructure, this should apply under certain conditions until 2030.

The taxonomy is a kind of classification of sustainable economic activities and is equivalent to a classification as worthy of funding and a recommendation to investors. The EU Commission had already presented the corresponding legal act in April. At the time, however, the authority left out the delicate question of assessing gas and nuclear energy. We should await further expert reports and evaluations.

Nord Stream 2: ukrainian CEO of Naftogaz wary of russian intentions

 After the change of government in Germany, ukrainian officials await if there is a new approach concerning the Nord Stream 2 pipeline. However for Naftogaz-CEO Yuri Vitrenko there is no change to expect from Russia. An interview with german newspaper BILD:

The traffic light-coalition is arguing about a contaminated legacy from Merkel and Groko days: the Nord Stream 2 gas pipeline.

▶ ︎ The Greens want to prevent it, see it as a political project by the Kremlin to blackmail Eastern Europe and especially Ukraine.

▶ ︎ The SPD is traditionally in favor of the project in which its ex-boss Gerhard Schröder is the boss.

Apart from Germany and Austria, nobody in the EU is in favor of the Gazprom pipeline. And Ukraine in particular, which has hitherto been the main transit country for Kremlin gas, warns.

BILD spoke to Yuriy Vitrenko (45), the head of the Ukrainian state gas company Naftogaz.

Gas prices: reflections about Russia as the main supply source

 French newspaper Le Monde reflects about the strategic options of the Bloc concerning gas supply in the light of skyrocketing energy prices and the clatter of boots at the border to Ukraine:

Europe is entering winter, and the question is no longer whether it will have gas to heat itself and run the factories, but at what price. It has flared up in recent weeks and costs six times more than a year ago. The bill for individuals and manufacturers will be heavy in 2022. The functioning of the European market lends itself to this, as does the economic context: demand is strong during this season, activity remains strong despite the threat of the Omicron variant of SARS-CoV -2, storage is at a very low level (63%) and the unexpected shutdown of French nuclear power plants is increasing tensions.

If there were just that ... Gas prices, and by extension electricity prices, are also trending against the backdrop of Russian boots on Ukraine's eastern borders. Russia supplies a third of the European Union (EU) gas. This share, greater than that of Norway and Algeria combined, puts Vladimir Putin in a strong position to derive double benefit, financial and political, from the situation. The Russian president has been playing this market power for months by asking Gazprom not to export more than expected by its contracts with European customers.

Germany: Russia curbs gas supply; retaliation for murder verdict?

 No more gas is flowing from Russia via Belarus to Germany since sunday. Some experts see this as an expression of disapproval by the Kremlin for the murder verdict against the russian hitman that killed a chechen individual in Berlin in 2019 and the restive attitude of newly appointed foreign minister Annalena Baerbock, writes BILD:

He did it again!

Russian President Vladimir Putin (69) has turned off the gas. Since Sunday, no more Russian gas has flowed to Germany via Belarus and Poland.

▶ ︎ “For commercial reasons”, as they say from Moscow, but experts see a different reason for turning the gas tap on again in the direction of the Federal Republic of Germany.

The Poles were the first to notice last Friday that something was wrong with the gas deliveries via the Yamal pipeline of the Russian state-owned company Gazprom. At around 5 a.m., the pressure in the pipeline dropped, initially by only about ten percent, and then by another 90 percent on Saturday morning.

Nord Stream 2: operator ramps up pressure, fills pipeline with gas

 Despite the fact that the controversial pipeline still doesn't have the necessary operating licence, the pipeline is being flooded with gas "to establish the necessary line pressure", as the operating company puts it, writes WELT:

The operating company of the controversial Baltic Sea pipeline Nord Stream 2 started filling the second line on Friday. According to the company, this is intended to build up the technical line pressure required for the gas flow.

“The pre-commissioning work on the second line was successfully completed to ensure the integrity of the pipeline,” explained the Swiss-based subsidiary of the Russian state monopoly Gazprom. The pipeline was "built in accordance with applicable technical and industrial standards and independently certified".

The early filling of the pipelines at a time of extremely high gas prices is surprising, as the operating license for the pipeline will still be months away. The Federal Network Agency (BNetzA) had suspended the approval process for pipeline operation for the time being because Gazprom had not yet implemented the formal conditions of the European gas directive.

According to the European competition rules, the owner and user of a line monopoly must not be identical. Gazprom must therefore set up an operating company that is formally and personally independent in accordance with the German legal form in order to meet this requirement. Only then can the certification of the gas pipe be completed.

Gazprom is working on the implementation. But decisions will probably "not be made in the first half of the year", said the President of the Federal Network Agency, Jochen Homann, with a view to 2022. The process will continue as soon as the necessary documents are submitted in such a way that "they can be checked" - but that alone has Nord Stream 2 AG in hand.

The BNetzA is under political pressure from various sides. Opponents of the project, including the USA, are demanding that the federal government not allow the line to go into operation for geopolitical reasons. Several EU countries are also calling on Germany to use the pipeline in the Ukraine conflict as a means of pressure against Russia.

Supporters of the pipeline project therefore suspect that the approval process of the Federal Network Agency could drag on longer than is actually necessary due to this political pressure. Some want to see the formulation of the BNetzA president as an indication that time leeway should be used to the maximum. Homann had pointed out that after the examination by the BNetzA, the whole thing would still go to the European Commission. This has "a lot of time to deal with it again".

If Gazprom is already filling the pipeline between St. Petersburg and Greifswald with gas, that could - intentionally or only as a welcome side effect - exert counter pressure on the licensing authority. Because gas prices in Germany and Europe are currently at a record level. In addition, a physical shortage of gas cannot be ruled out for industrial companies and power plant operators.

Operators of gas power plants in Germany are already warning of the increased risk of business interruptions due to a lack of gas deliveries this winter. The industry association “Trading Hub Europe” (THE), which is responsible for the gas supply, is also trying to organize additional gas volumes especially for Bavaria for February by means of a “special tender”.

If there were physical supply bottlenecks in Germany in the event of an extremely cold and long winter, politicians could come under pressure to justify why gas volumes from Nord Stream 2 are not used that are already physically available at the landing point Greifsland on German territory.

How sensitive the gas market is with regard to the politically sensitive supply situation was shown recently by reactions to a statement by the Federal Foreign Minister. Annalena Baerbock (Greens) had pointed out that "as things stand, this pipeline cannot be approved because it does not meet the requirements of European energy law." Market participants and media representatives misinterpreted as a political declaration of intent.

As a result, gas prices in European wholesale rose significantly over several days. Chancellor Olaf Scholz (SPD) only pointed out at the end of this week that Baerbock's statements had been misunderstood: The commissioning of the pipeline was not a political question, Scholz made clear: For commissioning, compliance with European law was only required in one sub-aspect clear up. "An authority in Germany decides on this quite apolitically."

Germany: EU plans thwart Germany's energy shift

 EU guidelines with very strict precepts on gas power plants could lead Germany to extend the operating time of coal power plants the government wanted to give up by 2030, reports WELT:

The new federal government would like to "ideally" bring the coal phase-out in Germany forward from 2038 to 2030. But the traffic light coalition partners encounter immense problems right at the beginning of their project. In addition to the even declining production of renewable energies, new specifications from Brussels threaten to make it more difficult to achieve the targets.

The starting position for the planned energy transition turbo of the new federal government deteriorated considerably on Wednesday: According to the latest figures from the German Association of Energy and Water Management (BDEW), the goal of achieving 80 percent green electricity in Germany by 2030 has become little more unrealistic. Accordingly, the share of renewable energies in gross electricity consumption has even shrunk from 46 percent to 42 percent this year. The main reason for this was poor wind conditions.

It is therefore ruled out in specialist circles that renewable energies can replace the capacities of coal and nuclear power that will be lost in the near future. Almost every study on the achievement of the German energy transition targets assumes that gas-fired power plants will have to be built to a considerable extent by 2030 in order to be able to temporarily close the electricity gap.

Nord Stream 2: Biden administration piles pressure on new german government

 The US government is losing patience with german officials who - to date - do not want to commit to a dropping of the contentious pipeline in case of a russian aggression against Ukraine. From the US viewpoint it remains to be if newly appointed foreign secretary Annalena Baerbock gets her way and if new german chancellor Olaf Scholz can preserve his independence towards the general position of his social-democratic party who supports this project, writes WELT:

Seldom has a Chancellor found himself caught between two superpowers so quickly. Not only congratulations for Olaf Scholz (SPD) came from Washington and Moscow, but also tangible pressure. The US wants to deter Russia from invading Ukraine - and, parallel to Scholz's inauguration, made it clear that they consider the federal government to be part of the problem.

"We have had intensive discussions with both the outgoing and the new German government about the issue of Nord Stream 2 in connection with a possible invasion," said US President Joe Biden's national security advisor, Jake Sullivan. "If Vladimir Putin wants gas to flow through this pipeline, he may not want to take the risk of invading Ukraine."

The message: If Putin attacks Ukraine, Berlin must stop the German-Russian pipeline. The US is fed up with Germany's geostrategic ghost ride. Putin had tightened Russia's course against Europe over two decades - but the German chancellors stuck to the billion-dollar pipeline project.

Nord Stream 2: gas shortage and uncertainty about Gazprom's plans

 While russian president Vladimir Putin ordered the gas producers to fill the gas reservoirs in Germany and Austria the concrete results are long time in the coming. This behaviour confirms some observers that this move is destined to coerce german authorities to issue the operating licence to Nord Stream 2. Read more in this WELT article: 

The energy consumers in Germany have to wait for the announced additional natural gas from Russia. Data from the network operator Gascade shows that in Mallnow, Brandenburg on the Polish border, where the Yamal pipeline from Siberia arrives, no Russian natural gas arrived at all by Monday evening, reports "Spiegel".

The Russian newspaper "Kommersant" also confirmed that Russian gas deliveries have so far only increased slightly. “Gazprom has started at a very moderate pace to implement Vladimir Putin's order to replenish European storage facilities from November 8th. Even though the company has pumped gas into the storage facilities again in the past few days, it has not significantly increased deliveries via Ukraine and has not yet resumed transport through the Yamal-Europe gas pipeline. "

After months of the energy crisis, gas customers in Europe were actually hoping for additional energy supplies from Russia as of the month of the month. It has been almost two weeks since Russian President Vladimir Putin, under pressure from rising prices and poorly filled storage facilities, instructed the state gas giant Gazprom to replenish the reserves in Germany and Austria. First the domestic supplies should be replenished. But then Gazprom should also open the valves for Europe further.

Russia's state media cheered that Putin was the “savior in the gas crisis” and was protecting the EU from the cold shock. On Monday, a spokesman for Putin confirmed that the order was in place for Gazprom to deliver more than the agreed mandatory quantities after November 8th. Ukraine, meanwhile, reported an increase in transit to Europe compared to the past few days. Accordingly, the daily amount rose to 88 million cubic meters of gas, most recently it was around 60 million cubic meters. There was initially no reaction from Gazprom.

The Federal Association of Energy and Water Industries had also welcomed Moscow's announcement. At the end of October, according to the association, the plants supplied by Gazprom in Germany were only 21 percent full, below average compared to other gas storage facilities.

Meanwhile, there is still great anger in Russia over allegations that the country is driving up prices by withholding gas. As Russia's most important woman in gas exports, Jelena Burmistrowa has just decidedly rejected responsibility for the energy crisis on the international stage. At a conference in Amsterdam earlier this month, the head of Gazprom-Export said anyone who “speculates about Gazprom's malicious acts” is far from reality.

Russia kept pointing out that there was a gas crisis around the world. The reasons lie in the recovery of the economy after the restrictions caused by the pandemic. There is a hunger for energy, especially in Asia. Last but not least, the US would have preferred to deliver additional liquefied gas there and not to Europe, said Burmistrowa.

Kremlin chief Putin had accused the Europeans of neglecting to properly fill their gas storage facilities after a cold winter. To make matters worse, because of the slack wind in the North Sea, the wind turbines produced less electricity there. More gas had to be converted into electricity. This also reduced storage reserves.

Nonetheless, Russia found itself exposed to political accusations in Germany and other EU countries that deliveries were in short supply in order to bring about the rapid commissioning of the finished Nord Stream 2 pipeline in the Baltic Sea. The Kremlin urged that Nord Stream 2 could ease the situation. But Moscow also stressed that regardless of this, all agreed quantities would be delivered. Customers in the West also confirmed that Russia delivers reliably.

It is not at all disputed that the raw materials giant is fulfilling its contracts. Rather, the point of contention is whether Russia is really doing everything it can to deliver additional quantities. Putin himself made it clear that there were limits for him. For example, Gazprom wants to do without Ukraine, which has long been the most important transit country for Russian gas deliveries to Europe.

The route through Ukraine is longer and therefore more expensive; In addition, the Ukrainian transmission network was ailing and could not withstand the higher pressure from the transit, explained Putin. Ukraine's offers to lower the fees came to nothing. The impoverished country urgently needs the income from transit.

As Vice President of Gazprom, Burmistrowa also stated at the Amsterdam conference that Russia was not interested in extremely high gas prices. The “record prices” could accelerate the transition to renewable energies in the EU. The huge empire, which is dependent on petrodollars, wants to earn money for its national budget with fossil fuels for a long time to come.

Putin spoke out several times in favor of a return to long-term contracts, because this would give Russia planning security for the development of new deposits. The gas price should therefore be linked to that for oil. Russia is also increasingly producing liquefied gas and can therefore react more quickly to acute situations. "In contrast to the flexible suppliers of liquefied gas, we are firmly bound to Europe through our pipeline system," said Burmistrowa.

The fact that the Nord Stream 2 pipeline, which was built for more than ten billion euros, has not yet been released for operation only triggers uncomprehending shaking of the head in Russia. 55 billion cubic meters of gas per year should flow to Europe in the future. A start date is not in sight.

Meanwhile, the Russians emphasize that in view of the gas crisis they have already delivered more than agreed. Exports to Germany alone increased by 30 percent in the first nine and a half months compared to the same period in the previous year, it said. Germany is the largest Gazprom customer in the EU. The country bought around 46 billion cubic meters of gas from Russia in 2020 - around a third of all consumption in Germany. Still, that's not enough.

However, there is no threat of a collapse in supply. Analysts believe that the storage facilities in Europe are still filled with around 82 billion cubic meters or 76 percent of active gas. That is about 15 percentage points less than the average for the past five years. The Gazprom storage facilities in Germany and Austria, the CEO Alexej Miller admitted during an interview with Putin, had hardly any gas left.

Nord Stream 2: deadline for application for operating licence exceeded

After completion of the pipeline in September 2021 the project stills lacks the required operating licence. This constitutes an obstacle for the startup procedure of the pipeline because the deadline for application at the Federal Network Agency of Germany (Bundesnetzagentur) was march 3rd 2013 as stipulated in the german Energy Industry Act (Energiewirtschaftsgesetz). However the application for Nord Stream 2 arrived on June 24 2021. Lawyers are at strife on how to deal with this issue, writes BILD:

New problems for the Putin pipeline Nord Stream 2!

Completely built, but still without an operating license and without certification, the billion-dollar pipeline lies in the Baltic Sea. In order to change that and soon Russia's gas will flow through the pipe, Nord Stream 2 AG, based in Switzerland, submitted an application to the Federal Network Agency on June 24th for “certification as an independent transmission system operator”.

In its application for certification, Nord Stream 2 AG refers to the German Energy Industry Act (EnWG), which is the only possible legal basis for certification in Germany. But this is exactly where the problem lies.

Because in Article 4b, paragraph 1 of the law: "Transport network operators (...) must submit the application for certification to the regulatory authority by March 3, 2013 at the latest."

Nord Stream 2: german politicians blame chancellor Merkel for high energy prices

 Several politicians blamed the hiking energy on Merkel's inactivity and naivity in dealing with russian president Putin, thus enabling him to blackmail Europeans with gas prices, writes german newspaper BILD: 

The signs couldn't have been clearer.

For years, experts and politicians, who know how Russia repeatedly uses energy as a weapon, have warned that the new Nord Stream 2 pipeline in the Baltic Sea will come with a political price. Not only for Ukraine, but above all for Germany.

Doubling the Russian-German gas transport capacity by bypassing all European partners would not result in a diversification of the sources of supply, as Chancellor Merkel and her foreign and economic ministers have been claiming for years. Instead, it creates one-sided dependencies, gives Putin influence over German politics and, above all, the power to freeze ourselves and others if we don't play by his rules.

But Angela Merkel (67) ignored all warnings.

Even when the completion of Nord Stream 2 was about to begin in the summer and Putin began to implement his plan, Merkel did what she did so often in crisis situations over the years - nothing.

► Nothing happened when Russia's state gas giant Gazprom announced in June that from October it would only feed half as much gas into the “Yamal” pipe via Belarus and Poland.

► Nothing happened when Gazprom announced in August that it would also drastically reduce additional bookings through Ukraine from October.

► Even when the Kremlin announced just one week after the completion of the Baltic Sea pipeline in September that “the fastest possible commissioning of Nord Stream 2 would of course compensate for natural gas prices in Europe”, Merkel did nothing to avert the impending catastrophe at the last second .

Today gas at the European trading point in the Netherlands costs twice as much as when the extortion tube was completed five weeks ago, and Vladimir Putin only made it clear on Wednesday that without the commissioning of Nord Stream 2, "the tensions on the European energy market" would persist .

What threatens is an extremely expensive winter, for which experts hold the Chancellor partly responsible.

"Germany's precarious situation results from various wrong decisions by the governments under Ms. Merkel," says Ostpolitik expert Jan Behrends (51) from the Leibniz Center for Contemporary History in Potsdam. These include "the hasty nuclear phase-out, the construction of the Nord Stream pipelines and the failed policy on Russia," the Russia expert told BILD.

The Eastern Europe expert Renata Alt (56, FDP) also goes tough with the Chancellor in court.

She told BILD: “The current gas price explosion is not least due to the naivety of the two grand coalitions under Angela Merkel's chancellorship. Anyone who sows naivety in dealing with Vladimir Putin's system will reap dependency and an energy crisis. "

Alt further criticized the outgoing Chancellor: “For a project that has no added value for Germany, Ms. Merkel has jeopardized our relations with EU partners such as Poland and the Baltic states. There is nothing to explain this ingratiation to Russia and nothing to excuse. "

Germany: return to nuclear could reduce energy dependency from Russia

This is the assertion that french scholar Thierry Bros develops in a conversation with german newspaper BILD: 

“Putin is the only one who could prevent blackouts in Europe. That is a position of power. "

This simple but accurate statement by energy expert Professor Thierry Bros (54) from the University of Institut d’études politiques de Parisciences (Sciences Po) in the “Wall Street Journal” shows the whole misery of German energy policy! Whether for heating, power supply or gasoline - Germany is dependent on the Kremlin, because the strongest energy suppliers, the state-owned companies Gazprom and Rosneft, are at least indirectly controlled by Russia's head of state.

But how can Germany end the misery it has created itself?

BILD spoke to energy expert Thierry Bros about Germany's dependence on Russian gas and the most obvious way to rise from Putin's shadow - nuclear power, which is so frowned upon in this country, but which dominates in France.

BILD: Does Germany risk power outages if Berlin doesn't play by Putin's rules?

Thierry Bros: “Definitely! As a Frenchman, I would say that Germany is relying on a dangerous free ticket to the EU solidarity mechanism and, in the event of a large-scale power failure, will ask its neighbors to shut down their industries in order to provide emergency power for German households. "

BILD: Does Germany risk power outages if Berlin doesn't play by Putin's rules?

Thierry Bros: “Definitely! As a Frenchman, I would say that Germany is relying on a dangerous free ticket to the EU solidarity mechanism and, in the event of a large-scale power failure, will ask its neighbors to shut down their industries in order to provide emergency power for German households. "

How do we escape this addiction?

Bros: “The decommissioning of German nuclear power plants in 2011 led to more coal being burned from 2011 to 2014. If you shut down the last six plants now, more Russian gas would have to be burned, which is also crazy for the climate. Since there is no way to switch from nuclear power plants to renewable energies overnight, both the climate and the citizens would thank the next federal government if Germany postpones its nuclear power plant closings and reopens decommissioned safe nuclear power plants. "

Could that also reduce Putin's influence in Germany?

Bros: "Of course! The more energy is offered on the German market, the greater the competition. This leads to lower prices for German consumers and curtails Putin's power over German politics. "