Ukraine war drives US, EU deal to undercut Russian energy

BRUSSELS (AP) —
With stunning speed, Russia's war in Ukraine is driving Western Europe into the outstretched arms of the United States again, especially apparent when President Joe Biden offered a major expansion of natural gas shipments to his European Union counterpart Friday.

Talking to European Commission President Ursula von der Leyen, Biden said the core issue was “helping Europe reduce its dependency on Russian gas as quickly as possible.”

And Europe, which relies on Moscow for 40 per cent of the natural gas used to heat homes, generate electricity and drive industry, needs the help.

An economic miscalculation with massive geopolitical consequences, many European Union nations let themselves become ever more reliant on Russian fossil fuels over the years, vainly hoping trade would overcome Cold War enmity on a continent too often riven by conflict.

That longstanding practice meant the 27-nation bloc could not simply stop Russian energy imports as part of Western sanctions to punish Moscow for the invasion a month ago.

And changing energy policy is about as cumbersome as turning around a liquefied natural gas carrier on a rough sea.

In reality, it will take years.

This is where Biden stepped in Friday. Under the plan, the United States and a few like-minded partners will increase exports of liquefied natural gas, or LNG, to Europe by 15 billion cubic meters this year.

Those exports would triple in the years afterward, a necessary move if the EU can back up its claim to be rid of Russian imports in five years.

“We are right on track now to diversify away from Russian gas and towards our friends' and partners' reliable and trustworthy suppliers,” von der Leyen said.

It will take huge investments, and getting more liquefied natural gas to Europe could be difficult. U.S. export facilities are already operating at capacity, and most new terminals are still only in the planning stages.

Most U.S. shipments already go to Europe.

Even if more gas can be shipped to Europe, the continent may struggle to receive it.

Import terminals are in coastal areas, and Europe's pipeline system doesn't have all the connections needed to send the natural gas throughout the continent.

But Europe is looking anywhere it can for solutions. Some countries — Germany, Italy and Bulgaria among them — are more heavily dependent on Russian gas than others, complicating efforts to agree on either a faster exit or a complete boycott now.

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