Facing ‘Putin’s Energy Blackmail,’ Europe Agrees to Cut Russian Gas Use

BRUSSELS – Fearing Russia could shut down this winter, the European Union agreed to a deal on Tuesday to limit natural gas consumption starting next week, the latest demonstration of determination and united in pushing and shoving with the Kremlin for President Vladimir V. Putin. invade Ukraine.

This agreement highlights the European Union’s continued ability to forge a deal, even when rejected by compromise, and represents an important step in managing its energy dependence. Russia and overcome divisions in the face of threats from Russia.

“Today, the EU has taken a decisive step to face the threat of a complete gas disruption by Putin,” said Ursula von der Leyen, president of the European Commission, the bloc’s executive body. , said in a statement shortly after the deal. obtain.

For now, the cuts, which aim to save up to 15% by spring, will be voluntary, but could become binding if tight energy supplies – or a sudden Russian cut – cause state of emergency. How that is achieved is country-by-country, but countries will have to look for immediate savings, including rallying people to change heating habits or home air conditioner.

Ms. von der Leyen said that by acting together – and taking into account the energy challenges each country faces – the European Union has “secured a solid foundation for the indispensable solidarity between the countries”. member states in the face of Putin’s energy blackmail.

Not insignificant, when implementing the agreement, the committee asked countries less dependent on Russian gas to share the burden of cutting consumption equally, emphasizing the rationale that the economy of the bloc is integrated. high entry and a blow to a member can be damaging. shopping.

The flow of Russian gas, which supplies 40% of EU consumption, is a third below the usual average in June. Gas storage facilities in Europe, which are usually nearly full at this time of year in preparation for winter, do not have enough reserves to cope with such volatility and shortages. Most European countries use gas to produce electricity for households as well as industry and especially for household heating.

This fuel represents a quarter of the bloc’s energy mix, with some countries relying on it more than others. Before the invasion, Germany depends on Russia for 55% of gas imports. In the past few months, it has been able to drop to about 30%.

The deal comes less than 24 hours after Russia’s state-owned gas monopoly, Gazprom, said that it will further reduce the amount of natural gas it is delivered to Germany, Europe’s largest consumer of Russian gas, via the Nord Stream 1 pipeline. Limited flow resumed less than a week ago after shutting down for annual maintenance.

Before the meeting in Brussels, President Volodymyr Zelensky of Ukraine accused Moscow of staging “An Open Gas War” against “a united Europe” and urged its leaders not to give in to threats from Russia.

Although the deal did not require the unanimity of the 27 EU countries, diplomats involved in the process said in the end only one member did not support the deal – Hungary, which was once a country. previously held.

Since the Russian invasion, the European Union has rally to pass sanctions. It is full ban on coal imports from Russiaeffective August 1 and will ban most imports of Russian oil later this year. But the oil embargo is a difficult measure to apply, for Hungary, which has maintain a warm relationship with the Kremlin, managed to exempt itself from taxes in the near future.

The agreement reached on gas cuts on Tuesday showed diverse internal divisions, but breaking with past habits, member states tried to show restraint and come up with a quick compromise and seems effective.

The European Commission’s initial proposal last week offered a less flexible plan to urgent cuts in fuel use throughout the bloc. It foresees fewer exceptions, and puts the Commission itself in charge of calling for a state of emergency and activating mandatory natural gas restrictions.

Controversial, the proposal requires even countries that are less dependent on Russian gas or have begun ambitious energy-saving plans to split the burden of cutting consumption, helping those more dependent.

Critics argue that the proposal primarily benefits the bloc’s largest economy and, in fact, Germany, which relies heavily on Russian natural gas imports.

The German loophole turned the tide on an old European scenario; During previous financial crises, the Germans pointed the finger at weaker countries, especially in the south of the continent, for being irresponsible. Now the southern countries, among them Greece, Spain and Italy, were able to occupy the moral high place.

But the complexities of restricting gas use in Europe go beyond the cliched division between north and south. Finally, the method of resolving disagreements is radically different from the old EU play, which is often characterized by late-night and fruitless meetings and public disapproval.

Instead, the EU energy ministers’ meeting in Brussels on Tuesday morning left their talks five hours later, with a compromise that appeared to address individual concerns without diluting. policy goals – cutting gas use and eliminating Putin’s energy threats.

Robert Habeck, German Economy Minister, said: “Europe has achieved a great achievement, I would say an incredible degree of unity. He added that the deal shows that Putin’s strategy of trying to raise gas prices, in an attempt to “divide Europe and break solidarity with Ukraine,” will not work.

“Today’s summit and agreement sent a decisive, strong signal, which I think will be heard in Moscow,” Habeck said. “Europe will not be divided.”

The compromise plan would exempt Ireland, Cyprus and Malta, island nations that have little flexibility in finding alternative energy sources in the event of a shortage, as they are not connected to a complex pipeline system. continents. The three countries between them have a population of 7 million – the EU’s total population is around 450 million – and account for a tiny fraction of overall gas consumption.

Other exemptions will be in effect under specific circumstances to accommodate members experiencing energy constraints or who have done a great job saving their gas. The Baltic states—Estonia, Lithuania, and Latvia—have electricity grids connected to Russia, and if Russia cuts power, they won’t be required to limit their use of gas either.

Countries that have exceeded their storage-filling targets, such as Poland and Italy, can claim to be compensated by cutting usage less, although such an exemption would not be granted. automatically granted, a senior official at the European Commission said.

And member states will not be allowed to store natural gas for national use in their storage facilities when other countries are in short supply. EU countries agree to share their gas reserves and bail out each other if severe shortages occur, using that dense network of shared pipelines.

European officials say the Commission’s original plan would prepare the bloc to comfortably survive a very cold winter without Russian gas imports by cutting some 45 billion cubic metres. gas used. The compromise plan would keep them operating without difficulty in a normal, low-gas Russian winter, cutting around 30-40 billion cubic meters a bit more modest but still substantial.

It’s a double win: The European Union has found a credible path to cutting its dependence on gas, said Simone Tagliapietra, energy policy expert at Bruegel, a research group in Brussels. Russia and try to stick together as the Kremlin seeks to divide them. .

“From this plan we can get up to 40 billion cubic meters by March and that is exactly what we need,” he said.

“Putin’s strategy was clear from the start, you don’t have to be a genius to see that Russia wants to use the leverage it has over EU countries to try to split the EU in order to weaken its position. them to Ukraine,” he added. “Gazprom is not a company anymore, it is a geopolitical weapon in the hands of the Kremlin.”

Melissa Eddy contribution reports from Berlin and Monika Proncczuk from Brussels.