Free Trial

Putin-Proposed Caps On Gas Prices Will Lead To Price Increases

EU-RUSSIA

Speaking at the Eastern Economic Forum in Vladivostok, Russian President Vladimir Putin states that proposed EU caps on Russian gas prices are 'stupid' and will lead to price increases.

  • Putin: "We can launch Nord Stream II gas pipeline if necessary....Nord Stream I is basically shut down...last operational turbine is out of order...turbines for NSI should be sent directly to Russia...We will resume NS I flows if the turbine is returned'. Sanctions currently prohibit some countries from sending technical equipment to Russia.
  • Putin: "Russia does not use its energy as a weapon....Poland shut down the Yamal-Europe pipeline, Ukraine shut down one of the gas routes on its own initiative".
Separately, BBG has comments from German Chancellor Olaf Scholz: "Winter will be challenging but we will get through it. Russia does not want to deliver gas, the leak is just an excuse....Germany is ready to move ahead with the electricity price cap".
  • All comes as EU energy ministers prepare for emergency meeting on Friday to discuss plans to mitigate energy price increases and potential shortages over the winter. A cap on Russian gas prices remains a possibility.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.