End of an Era: Russia Halts Gas Transit Through Ukraine Amid Geopolitical Strains
(Source – Indian Express, Section – The World- Page No. – 10)
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Analysis of the news:
End of Russian Gas Transit via Ukraine
- On New Year’s Day, Russian natural gas exports through Soviet-era pipelines via Ukraine ceased as a transit agreement expired, marking the end of a historic energy route to Europe amidst ongoing conflict.
- This shutdown follows years of deteriorating relations between Moscow and Kyiv since Russia’s annexation of Crimea in 2014 and Ukraine’s subsequent decision to halt direct gas imports in 2015.
Strategic and Financial Impacts
- The stoppage signifies substantial financial losses for both nations. Ukraine faces an estimated $800 million annual loss in transit fees, while Gazprom, Russia’s state-owned energy company, could lose approximately $5 billion in gas sales.
- Russia’s share of Europe’s gas market, once 35%, has drastically diminished due to geopolitical tensions and Europe’s active diversification of energy sources since the onset of the war in 2022.
Shifting European Energy Dynamics
- The European Union, determined to reduce dependency on Russian energy, has secured alternative supplies for countries like Slovakia and Austria.
- However, nations like Moldova, heavily reliant on Russian gas, are introducing austerity measures to manage reduced energy availability.
- Other major Russian export routes, such as the Yamal-Europe pipeline and Nord Stream, are also defunct, leaving TurkStream as the primary conduit to Turkey and parts of Central Europe.
Historic Decline in Gas Transit
- Russia’s gas exports via Ukraine, which peaked at 65 billion cubic meters (bcm) annually in 2020, dwindled to 15 bcm by 2023.
- The cessation of this route underscores the collapse of a half-century-long energy partnership, highlighting the economic and strategic consequences of prolonged geopolitical conflict.
| Significance of the Pipelines |
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(A) For Europe:
(B) For Russia:
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| Practice Question: Analyze the implications of the cessation of Russian gas transit through Ukraine on European energy security, the economic interests of Russia and Ukraine, and the broader geopolitical landscape.(150 Words /10 marks) |
For more such UPSC related Current Affairs, Check Out Geopolitical Shifts in 2025: Opportunities and Challenges for India
