Wholesale gas prices in the UK hit a record high rising nearly 40 percent in a single day. They went on to fall after that after president Putin indicated that Russia might boost supplies to Europe.
The volatile price of gas Europe is facing an energy crisis spiking gas prices soaring electricity bills. It’s the perfect storm low gas stocks after a cold winter a shortfall in wind power and surging demand as countries emerge from the pandemic. But is part of the problem. Russia critics say Russia’s not supplying Europe with as much gas as it could for geopolitical reasons to pressure the EU into using this Russia’s new pipeline North stream 2. It bypasses Ukraine and opponents say it’ll give Russia’s gazprom more power over Europe’s energy market. Gazprom can supply more gas to Europe. But refuses to do that saying that they will do that if they accept gazprom’s terms of handling North stream 2. That’s very simple. This is pure blackmail.
President Putin hit back, it was Europe’s fault. He said that gas prices were 10 times higher than last year because the EU didn’t want to sign long-term energy contracts. No wonder the Russians are smiling at their annual gas forum. They know the EU relies heavily on Russian gas exports. Britain imports very little natural gas from Russia. But the UK has been hit too by the skyrocketing prices on the energy markets. Russia’s position is very simple. They have got the gas they need. They have got a brand new pipeline to deliver it.