EU indicates the end of Russian gas transit via Ukraine, securing alternative energy sources
In December 2019, trilateral gas discussions between the EC, Russia, and Ukraine resulted in a protocol for long-term transit of Russian gas through Ukraine's territory to Europe beginning January 1, 2020. The Commission's Vice-President Maros Sefcovic signed the protocol, along with Russia’s Minister of Energy Alexander Novak, and Ukrainian Energy Minister Oleksiy Orzhel.
12:11 AM EST, February 16, 2024
Europe has alternatives to Russian gas
On Thursday, Simson revealed that the EC's analysis indicated that EU countries receiving Russian gas transported via Ukraine will have the capacity to find alternative supply sources. This includes countries such as Austria, Italy, and Slovakia.
"We are not interested in extending the trilateral gas transit agreement with Russia, which expires at the end of this year. Based on our preliminary analyses, there are alternative solutions available for gas supplies to countries, who are still receiving a part of their resources from the Ukrainian route," Simson told the European Parliament commission.
As Reuters reports, the EU is seeking to decrease its dependence on Russian gas imports following Russia’s curtailment of gas supplies to Europe since its invasion of Ukraine in February 2022.
According to S&P Global Commodity Insights, Europe currently receives approximately 424 billion cubic feet of gas annually through Ukraine. Before the conflict, the volume of gas was around 5.5 trillion cubic feet yearly.
Experts, as quoted by Reuters, maintain that the cessation of the transit agreement through Ukraine might cause a minor increase in European gas prices. Still, it will not jeopardize Europe's overall energy security.
"EU countries have made considerable investments in liquefied natural gas (LNG) and renewable energy to replace supplies from Moscow. The significant drop in gas demand has also been beneficial," the agency reported.
