Ukrainian GTS is capable of pumping twice as much gas as Nord Stream 2 by year-end

Author

Olga Krotovska

The Ukrainian gas transmission system is capable of transporting a much larger volume of gas than Nord Stream 2 can currently do. As Lana Zerkal, Adviser to the Minister of Energy, says in an interview with the outlet Radio Svoboda (Radio Liberty from Ukrainian), given this, the Kremlin "is resorting to very obvious blackmail."

"They (RF—Ed. note) are ready to pump through the Nord Stream another 5.6 billion cubic meters by the end of this year. At the same time, our GTS could pump 11 (billion cubic meters—Ed. note). And they do not use it because they want to launch "streams" that they will fully control and actually hold Europe in their gas "embrace", she says.

Zerkal also confirms the fact that the transit of Russian gas through Ukrainian territory has been reduced. However, according to her, this should not affect the pockets of ordinary citizens.

Additionally. The price of November futures on the TTF spot index on the ICE Futures exchange today was fixed at $1,057 per thousand cubic meters.

Context. Initially, the Russian Federation planned to complete the Nord Stream 2 construction in 2019. However, the American sanctions hindered this. The project was completed on September 10 this year. The project was completed on September 10 this year. Now the Kremlin faces a new challenge—its certification. Shortly after completing construction work, the German Federal Network Agency got the documents for certification of Nord Stream 2 AG as an independent gas transmission operator. Meanwhile, Amos Hochstein, Senior Advisor for Energy Security at the US Department of State, predicts that this will not happen so quickly.

Earlier this month, the Kremlin announced its readiness to increase gas transit through the territory of Ukraine, but under certain conditions. Gazprom's European clients should increase their purchases, while Kyiv should offer competitive conditions. When asked about the possibility of providing European countries with additional volumes of gas, Putin's Spokesperson answered vaguely.

However, a few days later, the Russian president himself stated that as soon as the German regulator greenlighted the launch of the first branch of the Nord Stream 2 gas pipeline, which, by the way, had already been filled with gas, European countries would immediately be able to receive not only the contracted volumes of gas, but also additional ones.

Recall that gas futures in Europe began to rise in price sharply in July. On October 6, their value peaked at $1,900, and after that it began to decline. Amid the energy crisis, the European Commission offered the authorities of European countries to partially cover the increased energy bills and allow payment deferrals. For example, the French authorities decided to freeze gas prices in the country throughout 2022.