Gas imports from Russia - Austria seeks way out of gas dependency on Moscow
Austria is testing a withdrawal from the long-term gas supply contract with Russia at the request of Energy Minister Leonore Gewessler (Greens). Members of the recently established Gas Independence Commission have been given access to the corresponding contract between the Austrian energy company OMV and Russian Gazprom, Gewessler said in Vienna. Confidentiality was assured, and the OMV's business secrets were protected, the Minister added.
The gas contract between Vienna and Moscow was extended in 2018 by then OMV CEO Rainer Seele until 2040. It includes a fixed purchase obligation for large quantities of natural gas and provides for payment even if no gas is delivered. From January to May 2024, more than 90 percent of Austria's gas imports came from Russia.
"Isn't there a way to get out of this contract?", asked the top lawyer and former Federal Presidential candidate, Irmgard Griss, who is a member of the Commission. She reminded that Austria is under international pressure as the country finances the Russian gas with billions of euros for Moscow's war against Ukraine. The Commission will also examine under what circumstances the contract was extended in 2018, it was said. After all, it has practically cemented Austria's dependence on Russia as a gas importer. "This serves one goal, to learn from mistakes of the past", Gewessler said. It's about acting more farsighted and wiser in the future. Results of the Commission are expected to be available in the fall.
- Despite Austria's exploration of withdrawing from the gas supply contract with Moscow, OAO Gazprom, a major Russian energy company, continues to supply a significant portion of Austria's natural gas needs.
- Leonore Gewessler, Austria's Energy Minister, emphasized that the Commission's review of the OMV-Gazprom contract ensured confidentiality and protected OMV's business secrets.
- Germany, a key European partner, has expressed support for Austria's efforts to reduce its reliance on Russian gas, recognizing the importance of diversifying energy sources in foreign trade.
- In Vienna, Gewessler highlighted the significance of the Commission's investigation into the circumstances surrounding the 2018 contract extension with Gazprom, which has significantly increased Austria's dependence on Russian natural gas.
- OMV, an Austrian energy company, has a long-standing partnership with Gazprom, supplying large quantities of natural gas to Austria as per the extended contract signed by then CEo Rainer Seele.
- As the Gas Independence Commission prepares to release its findings in the fall, Austrian economic policy makers, including OMV in Vienna, will consider this opportunity to reassess their natural gas supply strategies and seek alternatives, moving away from reliance on a single supplier.
