The European energy market is entering a challenging period and could face difficulties if the continent records low temperatures and experiences a harsh winter, said Gazprom CEO Alexey Miller.
Forecasts for the coming months are uncertain, but a significant drop in temperatures could disrupt the European natural gas market, said Miller.
He added that the available data already indicates potential volatility.
Miller said that Russia plans to deliver more than 38 billion cubic meters of natural gas to China this year through the “Power of Siberia 1” pipeline.
He emphasized that Russia and China are emerging as key players shaping the future architecture of the global gas market, with Russia as the largest producer and China as the largest consumer.
Commenting on Europe’s energy transition, Miller said that the European Union (EU) has invested a lot in renewable energy sources and, in some cases, achieved complete reliance on renewable energy sources for electricity production.
However, he claimed that natural factors revealed vulnerabilities in this strategy.
According to Miller, the Arctic anticyclone brought conditions with little sun and wind, which caused a sharp drop in renewable energy production. As a result, he said, Europe’s dependence on traditional hydrocarbons has reappeared, marking a step backward in its transition efforts.
Miller’s remarks come at a time when the EU is taking steps to further reduce its dependence on Russian energy, and EU governments have agreed on new rules for the gradual phase-out of Russian natural gas imports as part of the bloc’s “REPowerEU” strategy.
The proposed regulation would introduce a legally binding, gradual ban on pipeline and liquefied natural gas imports from Russia, with a full ban expected to take effect on January 1st, 2028.
