EU dissociates itself from Russian gas veto decision

Europe cannot accept the vetoes announced by the United States on Russian oil imports. This measure, adopted in the wake of Russia's invasion of Ukraine, was announced by US President Joe Biden, who declared a total ban on Russian oil and gas imports as a sign of his rejection of the invasion.

However, the EU does not have the solvency that the US might have in this sector. According to the CEO of one of the main Spanish fuel distributors, this measure is "unfeasible". All this comes at a time when Spain has reached a record high electricity price of 545 euros per megawatt. This figure has been slightly reduced after Germany declared the "essential" nature of Russian gas for the European economy.

However, European countries are still weighing up the possibility of doing without Russian gas imports, an issue that was avoided by Spanish Prime Minister Pedro Sánchez during his visit to Latvia. Meanwhile, amid the Kremlin-approved attacks, Russian gas continues to supply Europe via NordStream 1, a supply that Putin himself has threatened to cut off in response to international sanctions.

At a time when Europe is going through one of its most important energy crises, international analysts declare that renouncing Russian supplies would have very negative consequences for European countries, especially in central and eastern Europe. Moscow supplies Europe with 40 % of its gas and 25 % of its oil, a figure that contrasts with the low energy dependence of the United States on Russia.

In fact, this year the United States once again tops the ranking of the largest oil-producing countries, with a daily production of 10.2 thousand barrels of oil, according to the Statista Reserach Department. The US is followed by Russia, Saudi Arabia, Canada, Iraq and China, in that order.

This position of the United States gives it greater freedom from dependence on Moscow for supplies. However, this is not the case in Europe, which is why Washington's decision remains unilateral. Biden has already pointed out that the United States "produces far more oil than all the European countries combined". Likewise, the White House spokesperson, Jen Psaki, declared that "in 2021 the US was buying 700,000 barrels a day and the Europeans 4.5 million (...) we are very aware that the implications of the veto are very different for each of us", she declared when referring to the Union.

The oil problem is followed by gas. Brussels continues to adopt measures to accelerate the energy transition plan towards renewable energies and envisages being able to reduce dependence on Russian gas "well before 2030". In the meantime, the reality is that Europe remains heavily dependent on Moscow. In the same vein, the CEO of Engie, Catherine MacGregor, declared in an interview with LesEchos that "without Russian gas, we are entering an extreme scenario". She also pointed out that dependence on Eastern European countries is "100%", and that a cut in supplies would have "very rapid and serious consequences".

Similarly, German Chancellor Olaf Scholz also acknowledged the importance of Russian gas in the Union's supply, although he is working on a plan to disengage from Moscow. This decision diverges from France's, as French President Emmanuel Macron was among the first international leaders to consider stopping buying gas from Russia, also taking advantage of his status as the EU's rotating president. The differences in gas supply between Germany and France are significant: while the Germans obtain 45% of Russian gas, the French buy 20%.

For its part, the United Kingdom intends to gradually reduce imports of Russian oil by the end of this year, according to the British Energy Minister Kwasi Kwarteng. According to what he announced on his Twitter account, this temporary period will be "more than enough time" to reduce imports from Moscow, a figure that represents 8% of British demand. 

Following the US line, Kwarteng argues that the UK has "significant reserves" and is a "major producer" of petroleum products. "Beyond Russia", he notes, "the vast majority of our imports come from reliable partners such as the US, the Netherlands and the Persian Gulf", something that Europe cannot afford.