Monday, November 17, 2008

EU supergrid to cut Russia's grip on energy

Matthew Brown
11/14/08

Europe is set to embark upon a supergrid of power supplies to protect its energy from the threat of a Russian stranglehold. The building blocks of the proposed supergrid would be new cables linking North Sea wind farms, and a network patching together the disparate electricity grids of the Baltic region and the countries bordering the Mediterranean, according to a blueprint drawn up by the European Commission. EU states will also be asked to pay for at least two ambitious gas pipelines to bring in supplies from Central Asia and Africa. The plans also call for a Community Gas Ring, a network allowing EU countries to share supplies if Russia turns off the taps. Russia sells about two-fifths of the total, including the entire supply of several countries. There is to be an EU summit meeting with Russia in France, which is designed to reopen talks on a pact covering economic and energy links after the crisis in relations caused by the war in Georgia in August. The common EU gas ring will require construction of a pipeline to bring gas supplies from Azerbaijan and another pipeline for gas from Nigeria. The EU faces tough competition from Gazprom, the huge gas company in Russia, which is already negotiating to buy supplies from both countries for rival projects. The EC will spell out the urgency of making progress with energy security, because of the dominance of Russia and because of the economic uncertainties surrounding imports.
There are many people around the world who are worried about Russia’s aggressive behavior as of late, and Europe’s “Community Gas Ring” is just one step that the European Union has to make to lessen their dependence on Russia. Since Russia’s foreign policy has become more aggressive and quick to stir things up, there is no telling what Russia might do. Taking precaution by finding other sources of energy is a good move on the EU’s part.

http://www.theaustralian.news.com.au/story/0,25197,24647105-2703,00.html

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