“Supplying US LNG to China will worsen the energy crisis in Europe”
This opinion was expressed by the German TV channel N-TV. We are talking about a multi-billion dollar deal to supply liquefied natural gas from the US to China. Major Chinese enterprises and American gas exporters are in the final stage of negotiations on a multi-billion dollar deal to supply liquefied natural gas (LNG) to the PRC. Beijing expects to conclude the agreement by the end of the year.
“If Beijing and Washington conclude the deal, it could be a problem for Europe, as its gas storage facilities are not full enough”, – the channel said. With the start of the heating season, European countries have started pumping gas out of underground storage facilities (UGS) faster than they are pumping in. The EU states have 77.04% of their storage capacity which is 14 points below the average for the last five years.
N-TV also stated that Russia cannot help the energy crisis in Europe because it needs to fill its own storage facilities. According to German journalists, gas production in Russia has probably already reached its maximum level.
The energy crisis in Europe is largely man-made. It is based on strategic mismanagement by the EU and a number of member states. The increased preoccupation with the green agenda, the switch to exchange-based pricing instead of long-term supply contracts have played into the hands of Europe’s gas prices. There is also an objective circumstance for Europe in the form of a surge in gas demand in Asia, as German journalists are reporting.
As for Russia’s help in supplying Europe with gas, the contracts are being fulfilled. And the accelerated start-up of Nord Stream 2 will eliminate all the problems with filling the European UGSF for the winter. So, the question of solving the energy crisis is still in the hands of Europe itself.
Elena Panina