In the
article titled “Russia's Decision to Drop Pipeline Puts EU in Tough Spot”
discusses Russia’s plan to abandon the natural gas pipeline through Europe.
Putin said he was going to drop the pipeline under the Black Sea to Bulgaria in
favor of an alternative route. The problem is that a lot of Russia is heavily
dependent on Russia’s energy, and they are very vulnerable to a cutoff of
Russia’s energy. The EU’s antitrust authorities said Russia’s half owner of the
pipeline could not control its entire capacity. Russia challenged EU
competition and energy market rules at the World Trade organization in April,
the EU stopped talks with Russia about the project.
What do you guys believe will happen in the future? What will be the implication of this?
http://www.wsj.com/articles/eu-will-continue-to-focus-on-finding-a-south-stream-solution-1417517402?mod=rss_europe_whats_news&mg=id-wsj
ReplyDeleteAnother article added comments from Sinan Ulgen of the Carnegie Institute in Brussels. Ulgen stated that the deal was "potentially very significant; if it comes into being it will give a huge boost to Turkey’s aspirations to become a regional energy hub. Turkey wants to aggregate different sources of natural gas and trade them and export them to Europe on its own commercial terms." Thus, this could give a huge boost to Turkey's economy if everything works out like it should.
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