Additional Supply Routes Will Trigger Further Competition on the EU’s Gas Market
Gas provision and energy policy are complex issues that get the world talking. Nord Stream 2 has captured attention and, as for any new project of this scale, the discussions are vivid and opinions varied. These external reflections provide a snapshot of current research and perspectives on Nord Stream 2 and EU energy provision.
Oct. 24, 2016 | The EU’s Third Energy Package, enacted in 2009, has created an integrated and competitive gas market across the EU, the Energy Post’s editor in chief, Karel Beckman, writes an article published on Energy Post, an independent website focusing on energy issues. Gas that enters the EU can easily be transported to almost any other location across the continent. This has led to increased competition, resulting in the creation of new gas hubs and pipeline interconnections, as well as the expansion of reverse flows. Since the Nord Stream pipeline became operational back in 2011, gas prices have declined in Central and Eastern Europe, ultimately benefiting the consumers. The construction of Nord Stream 2 is likely to trigger additional competition, where Russian gas could end up competing with Russian gas. Existing geopolitical tensions should not be used an argument for the EU to try to stop Nord Stream 2. There are numerous on-going economic relations between Russia and Europe – such as oil imports – which no one advocates the ending of, despite geopolitical tensions. Read the entire article here. This article has also been reprinted in the magazine Baltic Course.