Russia’s decision on January 5, 2009 to cut gas supplies to European consumers via pipelines in Ukraine has sent shockwaves throughout the European energy community. The dispute between the two countries, centering upon geopolitical issues on Russia’s western border, has plunged some European nations into a new discussion about the safety and security of Europe’s energy policy of relying on Russia for natural gas. Russia’s President Dmitry Medvedev and Prime Minister Vladimir Putin are still trying to test the West’s resolve against a somewhat resurgent Russia and are acting more aggressively now that some spots of protest has risen against their rule at home in light of the current economic problems facing the world.
Russia and Ukraine now seem to have reached a tentative deal on resuming gas supplies to Europe, with international monitors coming in to ensure that Ukraine does not siphon off Europe’s gas supply. However, there remain many conflicts that are not solved by the latest dispute, namely what Europe should do to secure a better energy future and how Ukraine will resolve its gas dispute with Russia.
This brief will explain some background on why Russia shut off gas to European consumers, what issues it brings up for Europe, and how it puts Ukraine is a very uncompromising position with Russia.