Page 5 - FSUOGM Week 29 2022

FSUOGM COMMENTARY FSUOGM

a “Union alert” on supply security, enabling it According to Moscow-based Kommersant,
to impose mandatory reductions in gas con- the turbine was delivered via plane to Germany
sumption on member states if they do not on July 17. Earlier the newspaper had reported
take voluntary action. This alert would come that the turbine would be sent on a ship, which
into effect when “there is a substantial risk of would have taken considerably longer. Kommer-
severe gas shortage or an exceptionally high sant notes that it will take a further five or seven
gas demand,” the commission said. days for the turbine to arrive at the compressor
The 15% reduction in gas consumption is station in Russia, assuming there are no logisti-
equivalent to around 45bn cubic metres of sup- cal or customs problems. A further three or four
ply – around a third of the total gas that Russia days will be required to reinstall and commission
pumped to Europe last year. The Commission the unit, suggesting that Nord Stream 1 will not
wants member states to continue restricting be operating at full capacity until the end of July
demand by this level until March 31, 2023, at the earliest.
around the time when the heating season typ- Speaking to reporters after a trip to Tehran,
ically ends. Doing so should enable the bloc to where he attempted to shore up relations with
make it through winter without exhausting its the leaders of Iran and Turkey, Putin said that
gas reserve, von der Leyen said. The Commis- Nord Stream had five pumping units operated by
sion’s proposal will be discussed by EU ministers Siemens, while one more was out of order due to
during an extraordinary energy summit on July “crumbling of [the] inside lining.”
26. “There are two functioning machines there,
they pump 60mn cubic metres per day … If one
Nord Stream uncertainty is not returned, there will be one, which is 30
Russia’s Nord Stream is due to wrap up 10 days mcm. Has Gazprom something to do with that?”
of routine annual maintenance on July 21, but Putin said, noting that one more of the pumping
a number of European leaders have expressed turbines is due to be delivered for maintenance
concern that Moscow will keep the pipeline on July 26.
offline for longer, or reopen it but at a restricted Nord Stream’s full capacity is 55 bcm per year,
capacity. meaning it is normally technically able to send
Russian President Vladimir Putin said on July 150 mcm per day to Europe.
20 that the pipeline’s capacity could be reduced Regardless of the accuracy of the Kremlin’s
further because of slow progress with equipment claims, the issue of technical difficulties at Nord
maintenance. The pipeline’s flow was already at Stream may be a red herring, as Gazprom has
40% of the normal level before its closure, with more than enough transit capacity at its disposal
Gazprom citing technical problems relating to via the Yamal-Europe pipeline, the TurkStream
Siemens’ failure to return a turbine to the Por- pipeline and Ukrainian transit system to keep
tovaya compressor station in Russia that had sending the same amount of gas to Europe even
been sent to Canada for repairs, due to sanctions. if Nord Stream’s capacity is restricted. ™

Week 29 20•July•2022 www. NEWSBASE .com P5