Europe’s energy crisis has deepened after Russian energy giant Gazprom said it could not resume natural gas supplies to Germany via a major pipeline for now.
The company cited what it said was the need for urgent maintenance work to repair key components in an announcement made just hours before deliveries were to resume.
Russia’s state energy company had shut down the Nord Stream 1 pipeline on Wednesday for what it said would be three days of maintenance.
A Russian construction worker speaks on a mobile phone during a ceremony marking the start of construction of the Nord Stream gas pipeline in Portovaya Bay, about 170 km northwest of St. Petersburg, Russia, on 9 April 2010. Russian energy giant Gazprom said on Friday, September. 2 of 2022 that it cannot resume the supply of natural gas through a key pipeline in Germany for now due to what it said was a need for urgent maintenance work, just hours before deliveries were due to resume. (AP)
It said in a social media post Friday evening that it had identified “malfunctions” in a turbine, adding that the pipeline would not operate unless they were removed.
The move was the latest development in a saga in which Gazprom has advanced technical problems as the reason for reduced gas flows through Nord Stream 1, explanations that German officials have dismissed as cover for a game of political power after the Russian invasion of Ukraine.
European companies have scrambled to find extra supply during the summer months to prepare for winter heating demands, buying expensive liquefied gas that arrives by ship, while additional supplies have arrived by pipeline from Norway and Azerbaijan.
Fears of a winter shortage have eased somewhat as storage has advanced, but a complete cut could present serious difficulties in Europe, analysts say. The European Union must step up efforts to reduce gas consumption, energy policy expert Simone Tagliapietra told the Bruegel think tank in Brussels.
Gazprom’s continued outages mean “a winter with zero Russian gas is center stage for Europe.” he said “There’s only one way to prepare for this: reduce demand for gas and electricity.”
A view of the Lakhta Center business tower, the headquarters of Russian gas monopoly Gazprom, in St. Petersburg, Russia, Wednesday, April 27, 2022. Russian state-controlled energy giant Gazprom said it will shut down the Nord natural gas pipeline Stream 1 across Germany for three days of maintenance starting Wednesday, increasing economic pressure on Germany and other European countries that rely on the fuel to power industry, generate electricity and heat homes. (AP Photo/Dmitri Lovetsky, Wire (AP)
Gazprom said it had identified oil leaks from four turbines at the Portovaya compressor station at the Russian end of the pipeline, including the only operating one. It claimed to have received warnings from Russia’s industrial safety watchdog that the leaks “do not allow safe and trouble-free operation of the gas turbine engine”.
“In connection with this, it is necessary to take appropriate measures and suspend the further operation of the … gas compressor unit in connection with the identified serious (safety) violations,” the company said.
Gazprom began cutting supplies through Nord Stream 1 in mid-June, blaming delays in the delivery of a turbine that had been sent to Canada for repair. Canada has since allowed the turbine to be delivered to Germany, which has said nothing is preventing it from being sent to Russia unless Russia says it wants the part.
In recent weeks, Nord Stream 1 has been operating at only 20% of capacity.
Russia, which before the cuts began accounted for just over a third of Germany’s gas supply, has also reduced the flow of gas to other European countries that have sided with Ukraine in the war.
Natural gas is used to power industry, heat homes and offices, and generate electricity. Increasing the amount in reserve has been a key goal of the German government since Russia invaded Ukraine, to avoid rationing of the industry as demand rises in winter.
Germany’s storage facilities are now more than 84% full.
View of the pipeline systems and closure devices at the gas receiving station of the Baltic Sea pipeline Nord Stream 1 and the transfer station of the long-distance gas pipeline OPAL (Ostsee-Pipeline-Anbindungsleitung – Baltic Sea Pipeline Link) in Lubmin, Germany, June 21, 2022. The Canadian government said late Saturday, July 9, 2022, that it will allow the delivery to Germany of equipment for a key Russia-Europe gas pipeline that has undergone a team of maintenance whose absence Gazpro (AP) of Russia
The head of Germany’s grid regulatory agency, Klaus Mueller, tweeted that Russia’s decision to keep Nord Stream 1 off for now increases the importance of new liquefied natural gas terminals that Germany plans to start operating this winter, gas storage and “important needs to save” gas.
“It’s good that Germany is better prepared, but now it’s everyone’s turn,” Mueller added.
Germany’s economy ministry said it had “taken note” of Gazprom’s latest announcement and would not comment directly, but added that “we have already seen Russia’s unreliability in recent weeks” and we have continued efforts to reduce the country’s dependence on Russian energy imports.
“Of course, these are difficult times, but we will continue to strengthen the provisions consistently,” the ministry said in a statement. “Great efforts are still needed, but we are well on our way to dealing with the situation.”
The European Union has just met its goal of filling its gas storage to 80%, ahead of a November 1 deadline, despite supply cuts in Russia.
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