Germany’s gas supply has been cut in half once more by Vladimir Putin’s Russia, which will further hurt the already fragile EU economy.
Germany is again facing a progressive deterioration of its already burdensome gas crisis after Putin’s state chose to cut down on the amount of Russian gas it was providing the EU state.
That’s despite Russia just recently seeing the flow of fuel from the Nord Stream 1 piping system restarted after a nearly two-week service period.
They Will Struggle
In order to help vulnerable countries get through the upcoming winter, the EU already struggled with the last cut.
Officials in Brussels were fighting to urge member states to adopt a 15% cut in their very own gas consumption. However, as per a statement by Der Spiegel, matters have become much worse.
The crucial Nord Stream 1 pipe that connects Germany together with Russia will now only be able to run at a max of 33 million cubic meters each day, or 20% of its max capability, starting on Wednesday.
Russia will cut gas supplies to Europe once again in a blow to countries that have supported Ukraine, just as there was hope that economic pressures could ease this week with the resumption of Black Sea grain exports.https://t.co/3HYsWkiE0K
— SABC News (@SABCNews) July 26, 2022
In the meantime, a Moscow official stated while the Kremlin was not currently interested in entirely stopping the flow of gas to Europe, things may change if the West continued to push for penalties.
According to Kremlin press secretary Dmitry Peskov, “Russia is a held-to-account gas provider.”
“Despite what anyone says in the European Commission, in European capitals, or in the US, Russia will proceed to be the nation that largely assures Europe’s energy security.”
He continued, “The scenario will be different if Europe persists on its course of utterly reckless imposition of limitations and sanctions.”
With the German DAX share market finishing a 0.33 point drop on Monday, the most recent reduction in Europe’s fuel supply already had an impact on the European markets.
Germany’s economic and global warming secretary, Robert Habeck, reportedly warned the snip put the country in a “crucial position” and the gas supply to industry sectors is in danger.
He expressed hope that the government’s actions will be sufficient to prevent any loss of stockpile for such businesses.
The Death of Europe
Habeck continued by emphasizing Germany will still be able to obtain gas from the Netherlands, as well as Norway.
Albeit the size of this supply looks to be in question, given the current lack of consensus over the gas issue within the European Union.
Germany’s economic prospects are worsening by the day as record inflation haunts households and threats swirl over supplies of everything from Russian natural gas to manufacturing components. https://t.co/trBJ34GCAA
— Daily Maverick (@dailymaverick) July 26, 2022
For instance, many of the member states of the EU are rebelling against efforts by the EU to compel them to reduce their gas use by 15%. Spain and Portugal, in particular, are expressing opposition to the proposal.
If an Irish Times report on the bloc-wide restriction is accurate, it would certainly exacerbate this division. According to an article the newspaper published on Tuesday, Ireland will be fully exempt from the duty to save gas.This article appeared in Powerhouse News and has been published here with permission.