/ world today news/ Due to the decrease in demand from European consumers and the implementation of the Third Energy Package, according to the results for the year, Gazprom expects a decrease in exports by 4-5%.
Gazprom continues to consider Europe as a priority market. To strengthen its economic security, the company implements megaprojects for the construction of pipeline systems. The North Stream gas pipeline has started work, the construction of the South Stream should start soon. But the European economy is in a complicated situation, which affects the consumption of gas, notes the president of the Russian Gas Community Valeriy Yazev:- In the first half of the year, the import of natural gas into the EU decreased by 34%, as pipeline – by 12%, and the supply of of liquefied natural gas from Qatar have decreased by 34%. However, this does not diminish Russia’s interest in the European market. Although Russian gas exports to Europe will decrease this year, Russia’s share in supplying Europe with gas remains at 38.5%.
There has never been a situation where demand in Europe is falling, not growing. No one knows how to adapt to it. The global and European gas industry has no experience in this situation, emphasizes expert Tatiana Mitrova:
– The most unpleasant thing is that the demand on the European market in the last decade did not grow, it stopped increasing. Neither the European experts nor the gas companies had foreseen this. They are now beginning to recognize this after the fact. Will it increase? There are many heated debates on this issue. This will depend to a large extent on the agreements and on the prices at which the gas will be sold. But it should not be forgotten that Europe’s own production is decreasing, and the need for imports is growing inexorably. But who will fill it is an open question.
The generally accepted European position is extremely unfavorable for Russia. Its essence is that maximum diversification of supply sources is needed. And in one of the declarations of the European Parliament from this summer, it is even emphasized that diversification means supplies of non-Russian gas. Along with this, there is no question of reducing delivery volumes or pushing Russia out of the European market.
In the investment programs of Gazprom and the industry, experts believe, adjustments may be made in accordance with the new realities. The companies have a backup variant – these are the already signed long-term contracts with European consumers. The term of validity of the main contracts expires after 2020. So there is time to adapt to the new market conditions.
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