Macro
The global energy crisis helps Russia improve its international status
Seetao 2021-10-12 15:37
  • Russia’s move to rescue Europe shows that Europe is now largely at the mercy of Russia in terms of energy.
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So far in 2021, regional benchmark prices have risen by nearly 500%-as the weather turns cold, increased demand and supply tightening have put pressure on the energy industry. The energy crisis prompted Russia to gain additional leverage on the international stage, while the United States faced the risk of losing its strategic power.

Russia and Europe (the European Union and the United Kingdom) are at an energy stalemate, while Europe (and the United Kingdom) is too weak to speak out and take any action. At this stage, the global energy crisis is intensifying, and many countries have also taken action: the United Kingdom refused to easily raise its own energy prices to protect domestic consumers. The nine energy suppliers that could not survive announced bankruptcy; the United States said it would do whatever it takes to curb energy. Prices, selling emergency crude oil reserves, restricting natural gas exports, expanding oil and gas drilling volume, etc.; South Korea has frozen natural gas prices for 15 consecutive months. Due to the pressure of high international gas prices, it plans to raise gas prices in the near future...

Many experts believe that Russia deliberately blocked the supply of natural gas to Europe in order to speed up the certification of the Beixi No. 2 pipeline in Germany. However, Russia refuted this claim, and Putin’s spokesman Dmitry Peskov denied that Russia played any role in the European energy crisis. Under the immigration crisis, the new crown epidemic and inflation, the impact of the energy crisis has not yet been fully highlighted in the United States. “In 2020, European energy prices will rise fourfold, and (Russian President) Vladimir Putin is turning the situation in favor of Russia.” “Energy is the source of American strategic power, but the United States is taking risks with energy. At the cost of achieving climate goals."

The energy system aimed at abandoning fossil fuels "intensifies Europe's dependence on natural gas, and Russia is the main supplier of natural gas." In the author’s view, this “is creating a strategic pressure lever for Gazprom. Despite European politicians’ demands, the company is not in a hurry to speed up production.” The article stated: “Under the energy policy implemented by the Biden administration, the United States European friends in Europe have encountered even greater difficulties.” Mentioned the cancellation of the KeystoneXL oil pipeline construction from Canada to the United States and the suspension of federal land leases for the development of oil and gas fields.

The supply of natural gas in Europe has been a thorny issue for a long time. It often deteriorates relations between the United States and the European Union, the former condemning Germany (the EU's largest importer of Russian gas, even before the NS2 pipeline) for signing a natural gas project with Russia. "Energy supply is a key factor in the global balance of power." The article said, "Russia and China know this, and the unrealistic climate goals of the Biden administration are detrimental to energy security and may undermine the US economy and global interests. ". Editor/Xu Shengpeng


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