Germany's attempt to increase its gas magnitude for Europe will negatively affect EU unity

On April 20, 2018, the president of the Centre for Global Studies "Strategy XXI", Mykhailo Gonchar, answered to questions of readers in the chat of the Glavred websiteIn particular, the questions on the gas sector concerned the assessment of the state of the Ukrainian GTS, prospects for the implementation of bypass gas pipelines, and Russian-Ukrainian gas relations.

How would you assess the current state of the Ukrainian GTS?

As completely functional. Yes, the Ukrainian GTS needs modernization. But talking about it, as a scrap metal, means to operate by slogans of Russian propaganda. The accident rate of the Ukrainian gas transportation system is lower than that of Gazprom. For thelast four years of Russian aggression against Ukraine and attempted sabotage on the main gas pipelines, no interruption of the transit of gas to Europe has taken place.This is perhaps the best indicator of the fact that the GTS successfully performs its transport and transit functions.

If Germany succeeds in becoming a gas hub, what does it meanfor it and other European countries?Whom is such development inconvenient and why?

Germany already has its own gas hub. It is the largest consumer of gas in the EU. But now it is also trying to become a kind of "gas crane" for the European Union, whichwill meanan additional strengthening of the hegemony status that it already has in the European Union.Yet today,we can say actually that the German-Austrian alliance transforms the EU into a German alliance. Such development is beneficial only to Russia and certain circles in Germany and Austria. It is harmful to the European Union, because it destroys it from the inside. It is detrimental to the transatlantic solidarity of Europe with North America. It is dangerous first and foremost for Ukraine, Poland and the Baltic States, because these countries, above all, have fallen victim to the burning Russian-German love, which in turn led to mutual hatred and a terrifying war in Europe. Just Ukraine, Poland and the Baltic States became victims of Russian-German "showdowns". Therefore, Germany's attempts to increase its significance for Europe in the gas context are far beyond the sectoral framework.

If to evaluate objectively, then why certain European countries, in particular Germany, Finland, are interested in obtaining Russian gas not only through the Ukrainian GTS, but also through the Nord Stream 2? Is it cheaper for them? Does Ukraine create problems for them here? What is the reason why they do not want to deal exclusively with the route of gas supplies through Ukrainian territory?

Finland does not receive and will not receive Russian gas through the Nord Stream - it receives its by land. This is only true for certain European countries, above all, Germany and Austria, as well as France and the Netherlands, whose companies are involved in partnership with Gazprom in the implementation of the Nord Stream 2. For them, perhaps, Russian gas will be cheaper. The traditional Russian price policy in the European gas market was to seduce some by lower prices for gas, but to punish others by higher prices. Therefore, Germany always received Russian gas at preferential prices, and, for example, Poland, the Baltic States, and other countries of Central and Eastern Europe, which have Gazprom as a monopoly supplier, received gas at the highest possible prices. Therefore, it is also one of the mechanisms of the split of Europe from the inside through differentiated gas prices.

Regarding the Nord Stream 2 implementation,Gazprom was instructed to make a group of European companies a proposal that cannot be abandoned.The essence of the proposal is quite simple: no matter what volume of gas will be pumped through the Nord Stream-2 - 55 billion cubic meters per year, 20 billion cubic meters, zero cubic meters, the shareholders of the project will receive their dividends as if the gas pipeline constantly pumps 55 billion cubic meters annually for at least 30 years. In this sense, a narrow group of five companies will benefit from the project. And these five companies, not the last in Europe, with their influences and capabilities, quite successfully together with Gazprom bend across knee their governments and the European Commission, ignoring the canons of EU energy legislation.

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