As a follow-up to my post from late August about the lack of joined up thinking within the EU for its gas pipeline plans, a more comprehensive article has emerged about the new relationship being forged between Russia and Turkey;
The article talks at length about how Russia will be able to increase its dominance in European gas markets – directly through a new TurkStream pipeline and indirectly through Turkey’s influence over the TANAP pipeline.
If this happens, Russia’s state-owned Gazprom will exercise high levels of control over both projects.
As a further embarrassment to the EU; Russia and Azerbaijan are looking to be involved with Iranian gas reserves (which are vast) and which were
also coveted by the West, which hopes to ship them into the EU as a hedge against Russia.
Far from reducing the EUs reliance on Russian gas “which supplies a third of the EU’s natural gas overall—though a much higher percentage to Germany and other northern EU nations” it seems that Russia is likely to increase its share unless another avenue can be found.
The most likely option at the moment is LNG from the US which has a glut of gas available thanks to fracking which has opened up new export opportunities as well as reducing domestic energy prices – too bad the EU (and previous UK governments) seem determined to ignore this fantastic opportunity on this side of the Atlantic.