Nord Stream 1, which gives gas to Germany, announced that it will not resume gas supplies as it needs more time for maintenance. The pipeline was scheduled to restart on September 3, after being closed for maintenance.
The decision by Gazprom, which is state-controlled and has a monopoly on Russian gas exports, spells major trouble for Europe.
Gazporm’s Indefinite Delay
The Nord Stream 1 pipeline stretches 1,200km under the Baltic Sea from the Russian coast near St Petersburg to north-eastern Germany.
On September 2, Gazprom declared that it would be unable to safely restart the pipeline as it had found an oil leak in a vital turbine. The company, however, did not mention when it hopes to restart the pipeline, suggesting that the wait could be infinite.
Siemens Energy, which services Nord Stream 1 turbines, mentioned that such a leak would not stop the gas pipeline from functioning. Siemens said that the Portovaya station has multiple turbines dedicated to Nord Stream and can afford to restart services. “Such leaks do not normally affect the operation of a turbine and can be sealed on site. It is a routine procedure within the scope of maintenance work,” the company said.
Meanwhile, Russia had earlier blamed the Western nations for hampering routine maintenance of Nord Stream 1, as the sanctions placed by these countries supposedly interfered with regular operations. As Russia invaded Ukraine, the Western nations, led by the US, banded together to cut Moscow at its knees economically. Michael Roth, chair of the German parliamentary foreign affairs committee, tweeted, “This is part of Russia’s psychological war against us.”
The EU Energy Crisis
Earlier, European Commission chief Ursula von der Leyen, had commented on Russian President Vladimir Putin’s attempts to manipulate the market to drive up gas prices. The escalating gas prices threaten to raise costs in the winter months as Europe grapples with a worsening energy crisis.
Eric Mamer, the European Commission’s chief spokesman, took to Twitter to share, “Gazprom’s announcement this afternoon that it is once again shutting down Nord Stream 1 under fallacious pretenses is another confirmation of its unreliability as a supplier.”
European commerce and industry have been severely affected by the escalating costs. Wholesale gas prices have risen over 400% since August 2021, forcing companies to cut down on production to save energy costs. Meanwhile, the White House assured European leaders that they will work together to find a solution. A White House spokesperson stated that Russia is weaponing energy against its European customers. Last week, the BBC revealed that Russia has been burning off an estimated $10 million worth of gas every day at a plant near the Finnish border.
When Von der Leyen suggested putting a cap on Russian gas prices, Former Russian President Dmitry Medvedev wrote on telegram that, in case of such an event, Russia will simply turn off gas supplies to Europe. As the energy crisis deepens, the EU has been scrambling to fill storage tanks for winter.
The EU has successfully filled nearly 80% of its requirements for heating, but it will be unable to cope if Russia keeps the gas pipeline closed. Energy-intensive companies like fertilizer and aluminum producers have already reduced production as energy prices skyrocket. Before the invasion of Ukraine, Russia supplied nearly 40 % of Europe’s gas requirements.
Energy experts believe that Russia wants to force Europe’s hand by restricting gas supplies, as the sanctions imposed by the West have also taken a toll on the nation. For now, Europe needs to focus on reducing gas usage. In the meantime, a Germany energy representative stated that the country is working on arranging alternative supply routes and will build import capacities for LNG.
