Gazprom likely to have missed gas export targets to Europe amid deepening energy crisis
Kremlin-backed Gazprom is likely to have fallen short of its natural gas export targets in Europe, as the continent struggles with soaring wholesale costs and supply shortages.
The gas giant revealed it had increased its natural gas exports outside the former Soviet Union in 2021 increased by 5.8 billion cubic metres (bcm) to 185.1 bcm, said on Sunday
However, it had planned to deliver 183 bcm of gas to Europe and Turkey, and as the 185.1bcm figures also includes China – where it began pipeline exports in 2019 – it appears the company missed its target.
Gazprom did not provide a full-year export figure for China but in the first nine months reported exports of 7.1 bcm.
It said it met all its contractual obligations for deliveries to Europe and had increased exports to Germany by 10.5 per cent, to Italy by 20.3 per cent and Turkey by 63 per cent.
Gazprom said its gas production rose by 62.2 bcm to 514.8 bcm, its highest in 13 years. Domestic gas supplies rose by 31.9 bcm to 257.8 bcm.
It previously reported export growth into the continent had slowed to below five per cent this winter, despite Europe’s urgent need for energy supplies.
Russian gas exports to Europe are under scrutiny after prices in the region reached all-time highs last month, amid accusations Gazprom has been undersupplying the region as a way of pressuring authorities to certify the new Nord Stream 2 pipeline.
In October, Russian President Vladimir Putin dismissed the accusations as “politically motivated blather” and criticised European economies for failing to hedge and maintain healthy storage levels of natural gas.
Russia supplies Europe with 35 per cent of its natural gas and the £8.4bn Nord Stream 2 pipeline would double its exports to Germany if certified by the company’s energy watchdog.
There are growing fears of power shortages in Europe, with Kosovo introducing rolling blackouts over the Christmas period, while France is suffering persistent issues with its nuclear reactors – leading to increased speculation of a power crunch when the milder weather ends.
Meanwhile, the Yamal-Europe pipeline has reported eastward flows away from Europe for 13 consecutive days.
Gazprom has said it expects record-high earnings for 2021 helped by high prices in Europe.