Davide Tabarelli, president of the Italian energy researcher Nomisma Energia gave an interview to la Repubblica newspaper in which he warned that Europe, and especially Italy, are experiencing an energy crisis of unimaginable magnitude, with electricity prices that have already almost doubled.
Tabarelli said, “Gas prices were at €0.7-0.8 per cubic meter, but had soared to €1.37 by the beginning of the year.”
He continued, “Now, in October, the €2.3 mark has been crossed: Europe and Italy are experiencing an energy shock of unprecedented scale.” He went on to warn Italians they should be prepared for rationing in the colder months of winter. He also recommended households look to acquire alternative means of heating, such as firewood, and wood pellets, although he acknowledged even those sources of fuel had seen prices rise of late.
Tabarelli emphasized this winter would be challenging, adding, “Buy a power generator for this winter and maybe for the next one too.”
Tabarelli had said earlier in the month he felt Italian authorities would be forced to impose a plan for rationing gas over the winter if the supplies from Russia were completely cut off. He also added that it would take Italy at least two to three years to secure regular supplies of gas to make up for those lost Russian supplies.
The European energy crisis kicked into high gear in July with the first disruptions of gas supplies from Russia, as flows were cut on the Nord Stream 1 pipeline due to a gas turbine trapped in Canada by sanctions. Flows through the pipeline steadily diminished from there as other mechanical issues arose, until flows were cut entirely. Russia had offered to replace the lost flows through the Nord Stream 2 pipeline, however Germany refused to certify it for political reasons, even as the government saw mass protests from German citizens demanding it be opened to lower energy costs.
Subsequently both Nord Stream pipelines endured sabotage attacks, with unknown perpetrators bombing undersea segments, triggering massive leaks and shutting down those legs. One underwater leg of the Nord Stream 2 pipeline was undamaged however, and Russia has offered to transport gas through it, however Germany has continued to decline to approve the operation of the line.
Italy receives some gas flows from Russia through another pipeline which traverses Ukraine and Austria to deliver the fuel, and that has remained open.
EU foreign policy chief Josep Borrell has noted that the EU’s prosperity had been predicated on the receipt of cheap gas from Russia, and that now that those gas flows were no longer available to the bloc, things would get more difficult.
Kremlin spokesman Dmitry Peskov has said that the EU is damaging its own interests, by relying on expensive gas imported from the United States, instead of purchasing cheap Russian fuel, which would enhance the bloc’s competitiveness.
