Russia halts Nord Stream 1 gas flow to Europe again | Russia-Ukraine war News

Russia’s state-owned power big Gazprom has once more suspended fuel deliveries on the arterial Nord Stream 1 pipeline to Germany, citing upkeep necessities.

The suspension is the most recent in a sequence of halts to fuel provides which have contributed to an ongoing power disaster in Europe within the wake of the Russian invasion of Ukraine that started on February 24.

Gazprom mentioned on Wednesday that provides by way of Nord Stream 1 have been “fully stopped” for “preventive work” at a compressor unit. The announcement got here shortly after European fuel community operator ENTSOG introduced that deliveries had ceased.

Gazprom has repeatedly maintained the stoppages in provide are obligatory for routine upkeep however have been exacerbated by gear supply issues created by Western sanctions on Russia.

Germany has accused Moscow of utilizing its power sources as a weapon.

Germany’s Federal Community Company chief Klaus Mueller referred to as the most recent cessation “technically incomprehensible”, including that have reveals that Moscow “makes a political choice after each so-called upkeep”.

“We’ll solely know originally of September if Russia does that once more,” mentioned Mueller, apparently referring to suspensions and reductions of flows in June and July that Russia blamed on upkeep.

Anticipated to worsen

Europe’s ongoing power crunch has seen a 400 p.c surge in wholesale fuel costs since final August.

The shortages have squeezed customers and companies alike, who’re reeling from sky-high inflation and the excessive price of residing. It has pressured governments to spend billions to ease the burden.

The state of affairs is anticipated to worsen as European international locations enter the chilly winter months, with many properties utilizing pure fuel for heating. Some international locations, together with France, have mentioned gas rationing is feasible.

Since launching its invasion of Ukraine, Russia has additionally stopped supplying Bulgaria, Denmark, Finland, the Netherlands and Poland with fuel whereas lowering flows by way of different pipelines.

On Tuesday, Gazprom mentioned it will droop fuel deliveries to its French contractor over a funds dispute. France’s power minister mentioned that was an excuse, however mentioned the nation had already been anticipating the lack of provide.

The European Union is making ready to take emergency motion to reform the electrical energy market with a purpose to carry rising costs underneath management, with power ministers scheduled to carry extraordinary talks subsequent week.

‘Nothing interferes with provides’

Germany, which is closely depending on Russian fuel, is faring higher than anticipated, with Mueller reporting the nation’s fuel storage was almost 85 p.c stuffed.

Europe as an entire can also be making progress in filling its fuel storage tanks. On Sunday, storage ranges have been already at 79.9 p.c of capability within the EU.

German economic system minister Robert Habeck, who’s main efforts to switch Russian fuel imports by mid-2024, says the nation presently doesn’t have the wanted shops to make it via the winter.

Requested if Gazprom’s provides would resume after the three-day works have been accomplished on Saturday, Russian authorities spokesman Dmitry Peskov mentioned “there’s a assure that, aside from technical issues brought on by sanctions, nothing interferes with provides”.

Western capitals “have imposed sanctions towards Russia, which don’t enable for regular upkeep, restore work”, he mentioned, showing to confer with an incident in July when, following 10 days of scheduled upkeep, Nord Stream 1 flows dwindled.

Gazprom mentioned the problem was the results of a key turbine being blocked from supply to Russia due to sanctions.

Germany, from the place the turbine was being despatched, mentioned Moscow was the one blocking that supply.

World Cup Countdown: Europe | Qatar World Cup 2022

From: World Cup Countdown

Can France win back-to-back World Cups? Will Ronaldo lastly get his arms on the trophy? The European perspective forward of the Center East’s first soccer World Cup.

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August’s episode focuses on Europe, with skilled evaluation from 2010 World Cup winner Javi Martinez and former Scotland striker Andy Grey.

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Europe faces gas supply disruption after Russia imposes sanctions | Oil and Gas News

Moscow’s measures and Ukraine’s halting of a significant provide path to Europe have despatched costs on the continent hovering.

Europe is dealing with elevated stress to safe various fuel provides after Moscow imposed sanctions on European subsidiaries of Russia’s state-owned Gazprom vitality large and Ukraine shuttered a significant fuel transit route, pushing costs greater.

Dutch fuel costs on the TTF hub, the European benchmark, rose by about 20 p.c on Thursday morning.

The uptick got here after Russia rolled out its sanctions late on Wednesday, primarily on Gazprom’s European subsidiaries together with Gazprom Germania, an vitality buying and selling, storage and transmission enterprise that Germany positioned underneath trusteeship final month to safe provides.

Moscow additionally focused the proprietor of the Polish a part of the Yamal-Europe pipeline that carries Russian fuel to Europe, EuRoPol Gaz. The pipeline is collectively owned by Gazprom.

“A ban on transactions and funds to entities underneath sanctions has been carried out,” Gazprom mentioned in an announcement. “For Gazprom, this implies a ban on using a fuel pipeline owned by EuRoPol GAZ to move Russian fuel by way of Poland.”

Kremlin spokesperson Dmitry Peskov mentioned there will be no relations with the businesses affected nor can they participate in supplying Russian fuel.

The entities on an inventory of affected corporations on a Russian authorities web site had been largely based mostly in nations which have imposed sanctions on Russia in response to its invasion of Ukraine, most of them members of the European Union. Final 12 months, EU nations received about 155 billion cubic metres of fuel from Russia.

Germany, Russia’s prime consumer in Europe, mentioned some subsidiaries of Gazprom Germania had been receiving no fuel due to the sanctions, however are searching for options.

“Gazprom and its subsidiaries are affected,” Habeck instructed the Bundestag decrease home. “This implies a few of the subsidiaries are getting no extra fuel from Russia. However the market is providing options.”

INTERACTIVE - Russian gas imports into the EU - Europe's reliance on Russian gas

Ukraine shuts main transit route

Russia’s sanctions got here a day after Kyiv shut a significant fuel transit path to Europe, blaming interference by occupying Russian forces, the primary time exports by way of Ukraine have been disrupted since Moscow launched its invasion in late February.

The transit level Ukraine shut normally handles about 8 p.c of Russian fuel flows to Europe, and Kyiv proposed that flows may very well be re-directed to another transit level, Sudzha.

On Thursday morning, flows by way of Sudzha had fallen to 53 million cubic metres (mcm) per day, from roughly 70 mcm the day earlier than, Ukraine fuel transmission operator knowledge confirmed.

Nevertheless, the Ukrainian suspension doesn’t current a direct fuel provide subject, the European Fee mentioned.

In the meantime, there may be nonetheless confusion amongst EU fuel firms a couple of fee scheme decreed by Moscow in March that the European Fee has mentioned would breach EU sanctions.

Russia’s demand that future funds for fuel be made in roubles has been rejected by most European patrons over the main points of the method, which requires opening accounts with Gazprombank.

That has generated fears about potential provide disruptions ought to patrons refuse to satisfy the rules to keep away from breaching sanctions.

The issues got here towards the backdrop of a significant improve in European wholesale fuel costs through the previous 12 months, including to burdens on households and companies as they search to rebound from the financial disruption unleashed by the COVID-19 pandemic.