Wednesday, June 22 2016 17:40 EEST
Poland strikes a new blow to Russian 'gas hegemony' in Europe
Poland, Russia, Qatar, gas, Europe, natural gas, Middle East, export, pipeline, Noed Stream, Gazprom, monopoly, damage, prices

Poland started to import liquefied natural gas from Qatar. This 'mockery of Moscow' costs Warsaw $720 mln. However, Polish government is going to continue the struggle for the gas independence. At the same time, the excess of natural gas in the world markets and emerging competition in Europe make Gazprom to reduce its prices.

Russia’s gas weapon has been weakened in Europe. Lithuania and Poland have started gradual release from Russian gas. The first tanker with liquefied natural gas came to the port of Swinoujscie from Qatar.

Poland had to invest a lot for regasification of the Middle Eastern natural gas that was liquefied for the transportation by sea. Warsaw gradually is winning its gas independence from the bigger neighbor just for €720 mln. It’s not going to stop there and is planning to create another terminal for regasification and this time the floating one. Poland dreams about the opportunity to receive a lot of gas to be able to export it.

The Polish idea turned out to be 'another blow' for Russia. Gazprom just was going to double the capacity of its pipeline through the Baltic Sea with a pipe known as Nord Stream which ends in Germany. The European Commission is against this project due to legal and diplomatic reasons.

Russian gas monopoly in Europe suffers from great damage. Europe can be competitive enough due to its autonomous infrastructure and can also require reduction in prices. The situation is suitable. Gas proposal becomes more and more excessive in the world and tankers with liquefied natural gas come not only from Qatar, but also from the US and Australia.

Gazprom still has no significant market in China and should reduce its prices for Europe and provide Ukraine with discounts. 

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