Open figure viewer
Significance
Gazprom faced unprecedented disruptions in 2020: a mild European winter in 2019-20, the slump in demand stemming from COVID-19 impacts, and competition from liquefied natural gas (LNG) which depressed European gas prices. Declining sales undermined Gazprom's share in the European market and resulted in a USD3bn loss over nine months.
Impacts
Gazprom will use its own trading platform and spot trading in European gas hubs to supplement contract sales in times of volatility.
Policymakers plan to establish a mechanism to ensure that Russian LNG deliveries to Europe do not compete with pipeline exports.
Gazprom's domestic agenda will be dominated by government instructions to accelerate gas supply provision to under-served regions.
Keywords:
Russia,
RUCIS,
CIS,
EU,
economy,
industry,
international relations,
energy,
foreign trade,
gas,
sanctions,
construction,
corporate,
Fossil fuels
© Oxford Analytica 2021. All rights reserved. This content contains general information about geopolitical, macroeconomic and social developments or (where stated) other matters. It does not contain advice or recommendations that may be relied on. Where links to external websites are provided, this does not indicate that Oxford Analytica or Emerald agree with, endorse or have checked for accuracy the contents of said sites.
2021
You do not currently have access to this content.
