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Austria uses Russian gas: experts see shortcomings

The Alpine country is bound to Russia by a long-term contract. However, the pipeline runs through the war zone of Ukraine. According to experts, alternatives are not being worked on at full speed.

The Haidach gas storage station near Straßwalchen..aussiedlerbote.de
The Haidach gas storage station near Straßwalchen..aussiedlerbote.de

Austria uses Russian gas: experts see shortcomings

In the second year of the Russian war of aggression against Ukraine, Austria still obtains a large proportion of its gas from Russia. According to data from the Austrian energy regulator E-Control, the Russian share of imported natural gas this year averages 60 percent.

In September it was even 80 percent - about as high as at the beginning of the war. The former head of E-Control, Walter Boltz, and the former head of the energy company OMV, Gerhard Roiss, have recently warned of the lack of preparation for a possible loss of supplies from Russia.

"This would result in high prices," Boltz told the German Press Agency. Although Austria has enough reserves in storage for such an emergency, gas would still become more expensive because pipeline capacities on the alternative route from Germany to Austria are limited, said Boltz, who was hired with Roiss as an advisor to the Energy Ministry in Vienna. The experts criticized the fact that the pipeline operator Gas Connect Austria (GCA) was not actively pushing ahead with the expansion of a pipeline for gas from Germany. "At the moment, the volumes are still coming from Russia," argued GCA CEO Stefan Wagenhofer in a radio interview.

This gas flows through Ukraine to Austria. The Ukrainian Deputy Prime Minister Olha Stefanischyna has assured that this will remain the case, even if Kiev wants to let the gas transit contract with the Russian Gazprom group expire. From E-Control's point of view, this does not change the risk that the pipeline could be damaged in the course of the conflict. "The pipeline is still in a war zone," the head of the gas department at E-Control, Carola Millgramm, told dpa. GCE is obliged to implement the pipeline expansion that has already been approved, she emphasized.

She expects a secure supply in winter if gas imports remain stable, Millgramm said. In contrast to Boltz, she considers the transport capacities on alternative routes from Italy or Germany to be sufficient.

Supply contract still in force until 2040

Austria has not yet renounced Russian gas because the current supply contract is still in force until 2040. The partly state-owned Austrian company did not want to answer dpa's question as to whether OMV, as Gazprom's contractual partner, has ever tried to negotiate an exit.

However, OMV has secured alternative gas volumes in the event of a supply freeze. Most regional energy suppliers, on the other hand, are still relying too heavily on Russia, said Boltz: "I have the impression that the companies are burying their heads in the sand a little and hoping that things won't get that bad."

  1. Despite the concerns raised by experts like Walter Boltz and Gerhard Roiss about the reliance on Russian gas, Stefan Wagenhofer, the CEO of Gas Connect Austria (GCA), defended the continuous flow of Russian gas through Ukraine to Austria, arguing that the pipeline capacities on alternative routes are limited.
  2. In light of the ongoing Ukrainian war and potential risks to the pipeline, Carola Millgramm, the head of the gas department at E-Control, emphasized that Gas Connect Austria is obligated to implement the pipeline expansion that has already been approved, ensuring a secure supply in winter if gas imports remain stable.
  3. Olha Stefanischyna, the Ukrainian Deputy Prime Minister, assured that the gas transit through Ukraine to Austria will continue, even if Kiev considers letting the gas transit contract with Gazprom group expire. However, E-Control highlighted that the pipeline is still in a war zone, posing a risk to its integrity.

Source: www.dpa.com

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