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And, mind you, we don't have an availability problem, we have a price problem. One that is caused by Russia's refusal to sell gas to Europe, one that hurts ener
by hef19898 4y ago
And, mind you, we don't have an availability problem, we have a price problem. One that is caused by Russia's refusal to sell gas to Europe, one that hurts energy intensive industries at a time energy markets in general are disturbed to unrelated reasons, right after a pandemic that disrupted supply chains in the middle of global inflation.
But yeah, Germany's refusal to buy gas from the US after Trump said they should is the root cause of all of that.
- baxtr 4y agoAren't availability and price correlated?
- hef19898 4y agoSure, so? Prices are back to pre war levels apparently and gas kept flowing the whole time. It was simply more expensive in the last months.
- baxtr 4y agoOh yes, sure. But of course the entire switch created a lot of stress, uncertainty, anxiety and so on. It is impossible to measure the real costs of that switching. But I bet they were very high. Having a basis, where one supplier/resource never accounts for more than let's say 20% makes a system much more resilient. I think it is "just" simple math, that was ignored before because it was cheap and easy at the time.
- baxtr 4y agoBtw: it’s even worse than that. The perceived dependency allowed Russia to think that they can get away… they thought they could blackmail the West.