Gazprom suspends gas deliveries to Dutch trader GasTerra

[BumRushDaShow]

Source: Reuters

AMSTERDAM, May 30 (Reuters) - GasTerra will no longer receive gas from Russia's Gazprom from May 31 after refusing to agree to Moscow's demands for payment in roubles, the two companies said on Monday. GasTerra, which buys and trades gas on behalf of the Dutch government, said it had contracted elsewhere for the 2 billion cubic meters (bcm) of gas it had expected to receive from Gazprom through October.

The company is 50% owned by Dutch government entities and 25% each by Shell and Exxon(XOM.N). "We understand GasTerra's decision not to agree to Gazprom's unilaterally imposed payment conditions," Dutch Energy Minister Rob Jetten wrote on Twitter. "This decision will have no consequences for the physical delivery of gas to Dutch households." A GasTerra statement said the Dutch company had decided not to adopt the system that Russia had demanded, which involved the setting up of accounts that would be paid in euros and then swapped for roubles.

The company said such measures could violate European Union sanctions and also said the payment route presented too many financial and operational risks. A statement from Gazprom said that its suspension of gas supplies to GasTerra will continue until payments are settled in line with the Russia-proposed scheme.

GasTerra said that it had repeatedly asked Gazprom to adhere to its contractual payment methods and delivery obligations. "It is not possible to say in advance what impact the dropping off of 2 bcm of Russian gas will have on the supply and demand situation in the European market," the Dutch company added.

Read more: https://www.reuters.com/business/energy/gazprom-suspends-gas-deliveries-dutch-trader-gasterra-2022-05-30/

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According to the Netherlands, this disruption would supposedly not impact their current supplies.

It's also interesting to see where ExxonMobil has its tentacles.

[Warpy]

1. We'll all likely have to buncle up indoors next year

because oil and natural gas prices are going to skyrocket as more countries chase more limited resources. It's always the crises that put more money into R&D of alternatives. It also gets a few alternatives off the drawing board and out into the field.

Sadly, filthy coal will make a comeback, especially in Europe. However, next winter is one of the things that will convince Putin that the world can get along without Russia but Russia can't get along without the world. China and India are not going to make up for the short sales.

It's just going to be a chilly winter this coming year.

[BumRushDaShow]

2. "Sadly, filthy coal will make a comeback, especially in Europe"

That might depend on how many (if any) coal-fired plants are still around there. There might be more in eastern Europe but others may have razed or converted their facilities to use gas (probably the most) or oil, and/or electric (from nuclear).

[Warpy]

5. We have dual fuel plants here

While older facilities have been shut down, I can't imagine their not making newer ones convertible.

In any case energy is going to get expensive We're going to go back to being cold in winter, sweltering in summer unless we're rich enough to afford canned air year round.

[BumRushDaShow]

6. I would agree with the energy costs going up

because that is gonna happen here too. That's interesting they have the dual (which would conceivably be a good backup)

We were already warned about a "46%" requested increase in electric in some parts of this state (PA). For here in Philly, they are talking about ~8% -

Pa. power prices are rising on June 1 by up to 46%. There are ways to save.


by Andrew Maykuth
Updated May 24, 2022

Rising energy costs are about to hit home for most Pennsylvania electric customers. The state’s largest electric utilities are poised to pass along significant price increases from power generators on June 1. Energy charges, which make up about half of a typical residential electric bill, are set to climb as much as 46% in some parts of the state, according to the Pennsylvania Public Utility Commission.

PPL Electric, whose territory stretches from the New York border to Maryland and includes parts of Chester, Montgomery, and Bucks Counties, is set to boost electric charges 38%, from 8.94 cents per kilowatt hour to 12.37 cents. For a customer using 1,000 kilowatt hours a month, that’s an increase of $34.30 on a bill.

Energy charges for customers of UGI Electric, which serves customers near Wilkes-Barre, are set to go up 46% from 8.85 cents per kWh to 12.9 cents. Just six months ago, UGI’s price was 6.2 cents per kWh, or less than half the price that will go into effect on June 1.

Electric charges for residential customers of Peco, which serves 1.6 million accounts in Philadelphia and five other counties, are set to increase 8.1% on June 1, from 7.07 cents per kWh to 7.64 cents. That’s the smallest increase in the state, and Peco’s 7.64-cent residential energy charges will actually be the lowest among Pennsylvania utilities, at least until the next quarterly price adjustment, on Sept. 1.

(snip)

https://www.inquirer.com/business/pennsylvania-peco-ppl-electricity-prices-increase-standard-offer-20220524.html

Have my air on now since it's up in the 90sF (low 30sC) already this morning.

I remember back in the late '70s touring the last nuclear plant under construction here in PA (Limerick) and the guy giving the tour "promised" that the electric bills would be down $3/month when the plant was ready to come online in the '90s.

This was me at the time --

[turbinetree]

3. I am just starting to read a book by Tom Burgis-----Kleptopia....

about Gazpom and other illegal BS that effects the world with these criminals....and everyone loves that money and how the dictators, oligarchies are flooding the global economy emboldening dictators to poison democracies......and even though the book came out in 2020......the world is living it through Ukraine.....basically the thieves are uniting and the cost is in human lives will be great.....

[BumRushDaShow]

4. Well that type of thing could pretty much be considered a universal trait

of human nature.

Hell... we saw this famous monologue back in 1976 -