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After President Vladimir Putin warned that Russian gas and oil sent to Europe could be further reduced and even stopped, the European Union this week called on member states to cut gas use by 15 percent by March.
After a 10-day shutdown for annual maintenance, supplies via the Nord Stream 1 pipeline, which accounts for more than a third of Russian gas exports to the EU, are scheduled to resume.
Even before the maintenance, supplies via the route had been reduced due to sanctions imposed on Moscow following its invasion of Ukraine.
Europe’s efforts to replenish gas stocks before winter have therefore been disrupted, raising the risk of rationing and further stifling economic growth.
The European Commission set a voluntary target for all EU states to reduce gas use by 15 percent from August to March, compared to the average figure during the same period 2016-2021.
“Russia is blackmailing us. Russia is using energy as a weapon. And therefore, in any event, whether it is a partial, major cut-off of Russian gas or a total cut-off of Russian gas, Europe must be ready,” the European Commission president said Ursula von der Leyen, as quoted by Reuters.
The move is to be discussed before expected approval by ministers on July 26 and will need support from EU member states.
“We think a complete disruption is likely. If we wait, it will be more expensive and it will mean we are dancing to Russia’s tune,” an EU official said, according to Reuters.
Two Russian sources said gas supplies via Nord Stream 1 were expected to restart, but below the daily capacity of 160 million cubic meters.
In June, Russian state-controlled Gazprom cut gas exports via Nord Stream 1 to 40 percent of capacity, blaming delays in the return of a turbine serviced in Canada by Siemens Energy.
Since the start of the war in Ukraine, gas prices have risen, reaching over 160 euros per megawatt hour this week, 360 percent more than a year ago.
Meanwhile, Gazprom has said that Russian gas deliveries to China are hitting a new daily record.
In response, European nations have sought alternative gas supplies, including from suppliers connected to Europe via pipeline, such as Algeria, as well as by building or expanding more liquefied natural gas terminals to receive shipments from countries such as the U.S.
