Pipeline gives Moscow the edge in gas supply balance of power

The launch of the Nord Stream gas pipeline from Russia to western Europe on the 6 September 2011 – in time for the peak winter gas season – changes the balance of power in gas supply to the continent.

It will enable Russia’s Gazprom monopoly to present itself as a reliable supplier, far less vulnerable to disruptions due to disputes with Ukraine, across which about 80% of Gazprom’s supplies to western Europe currently pass.

In addition, Gazprom announced on the 6 September 2011 that EU companies will get 50% stake in Russia's South Stream pipeline project, which is designed to deliver natural gas directly to Western Europe under the Black Sea and is seen to be competing with the EU-supported Nabucco project.

BBC News, 6.9.11: Putin opens Nord Stream Baltic gas pipeline to Germany http://www.bbc.co.uk/news/world-europe-14803065

ESO: Background information: The North-European Gas Pipeline (NEGP) http://www.europeansources.info/record/website-nord-stream/

ESO: Background information: All obstacles cleared for undersea Baltic pipe http://www.europeansources.info/record/all-obstacles-cleared-for-undersea-baltic-pipe/

EurActiv, 7.9.11: EU companies get 50% stake in Russia's South Stream http://www.euractiv.com/energy/eu-companies-get-50-stake-russia-south-stream-news-507338

ESO: Background information: Ukraine poised to mount Gazprom challenge http://www.europeansources.info/record/ukraine-poised-to-mount-gazprom-challenge/

Deutsche Welle, 6.9.11: Russia successfully launches Nord Stream pipeline http://www.dw-world.de/dw/article/0,,15368461,00.html

EurActiv, 6.9.11: Russia starts filling Nord Stream gas pipe http://www.euractiv.com/energy/russia-starts-filling-nord-strea-news-507308

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