GG News Bureau
Berlin, 28th June. Germany’s economy minister said he is unsure whether Russia will resume shipments through a key gas pipeline after planned maintenance next month, raising the prospect of another price increase and rationing this winter.
“I’d have to lie if I said I didn’t fear that,” Economy Minister Robert Habeck told public broadcaster ZDF late Thursday.
Klaus Mueller, the head of the federal network agency, expressed concern on Friday, saying that flows through the Nord Stream 1 link might not resume even after the 10-day maintenance period ends on July 11.
Mueller also warned that consumer prices could triple, and he urged households and businesses to save money and energy wherever possible.
“If we have a very, very cold winter, if we’re careless and far too generous with gas then it won’t be pretty,” Mueller said in an interview with public broadcaster ARD.
Germany raised the country’s gas risk level to the second-highest “alarm” stage on Thursday, one step below the third and final “emergency” stage, which would entail state control over distribution.
Habeck warned of a potential collapse in energy markets, drawing parallels with the role of the US bank Lehman Brothers in causing the financial crisis.
Nord Stream is the main pipeline transporting Russian gas to Europe’s largest economy, which still relies on Russia for more than a third of its supplies. Because of Russian sanctions, an alternative route is not being used, and Moscow is also squeezing flows to Europe via Ukraine.
In apparent retaliation for sanctions imposed following his invasion of Ukraine, Russian President Vladimir Putin has reduced flows to Europe. The standoff worsened last week when Gazprom PJSC reduced shipments through Nord Stream, leaving it at only 40% capacity and jeopardizing Germany’s winter reserves.
“The signal from yesterday with the alarm level is not that we’re now watching on powerlessly and staring at the snake like the famous rabbit,” Mueller said.
“It’s now up to us,” he added. “That means industry with all its options for substitution and saving. That means private households, who at last seem now to have woken up.”
Habeck is also attempting to set a good example. He told Der Spiegel magazine in an interview published Friday that he has “significantly reduced” the amount of time he spends showering.
“I don’t like being in air-conditioned rooms in the summer, and I use the heating sparingly in the winter,” Habeck explained. “I also come home late, get up at six o’clock, and leave at seven o’clock.” So, you don’t need to heat at all during the winter.” (with Bloomberg inputs)
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