The EU-Russia Gas Relationship: a mutual dependency
AbstractCurrent debate on the energy security in the EU often stresses the EU dependency on gas imports from Russia. However, Russia is no less dependent on the EU – more than half of its gas exports goes to Europe. The purpose of this paper is to characterize this mutual dependency through an index-based approach, and to discuss how the development of gas markets may affect such dependency. We suggest a unified framework to assess the security of gas supply for the EU and the security of gas demand for Russia, and construct dependency indexes for both parties. Our approach accounts not only for the traditional import/export dependency measures but also for the balance of power between Russia and the EU. The proposed methodology is then used to address the evolution of the EU-Russia gas relationship in the view of gas market’s developments. New gas pipelines projects (e.g., South Stream, Nabucco) and increasing use of liquefied natural gas are all likely to impact both the demand side and the supply side of the EU-Russia gas trade, and affect mutual gas dependency between the EU and Russia.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Stockholm Institute of Transition Economics, Stockholm School of Economics in its series SITE Working Paper Series with number 18.
Length: 33 pages
Date of creation: 01 Sep 2012
Date of revision:
Contact details of provider:
Postal: Stockholm Institute of Transition Economics, Stockholm School of Economics, P.O. Box 6501, SE-113 83 Stockholm, Sweden
Phone: (+46 8) 736 9670
Fax: (+46 8) 31 64 22
Web page: http://www.hhs.se/site/
More information through EDIRC
Energy Security; European Union; Gas transit risks; Index; Russia.;
Find related papers by JEL classification:
- C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data
- Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
- Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-11-17 (All new papers)
- NEP-CIS-2012-11-17 (Confederation of Independent States)
- NEP-CWA-2012-11-17 (Central & Western Asia)
- NEP-ENE-2012-11-17 (Energy Economics)
- NEP-PPM-2012-11-17 (Project, Program & Portfolio Management)
- NEP-TRA-2012-11-17 (Transition Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Findlater, Sachi & Noel, Pierre, 2009. "On the Draft Regulation on Gas Supply Security," Working paper 33, Regulation2point0.
- Franz Hubert & Irina Suleymanova, 2008. "Strategic Investment in International Gas-Transport Systems: A Dynamic Analysis of the Hold-up Problem," Discussion Papers of DIW Berlin 846, DIW Berlin, German Institute for Economic Research.
- Franz Hubert & Svetlana Ikonnikova, 2011.
"Investment Options And Bargaining Power: The Eurasian Supply Chain For Natural Gas,"
Journal of Industrial Economics,
Wiley Blackwell, vol. 59(1), pages 85-116, 03.
- Hubert, Franz & Ikonnikova, Svetlana, 2009. "Investment Options and Bargaining Power the Eurasian Supply Chain for Natural Gas," MPRA Paper 17854, University Library of Munich, Germany.
- Le Coq, Chloé & Paltseva, Elena, 2009.
"Measuring the security of external energy supply in the European Union,"
Elsevier, vol. 37(11), pages 4474-4481, November.
- Le Coq, Chloe & Paltseva, Elena, 2009. "Measuring the Security of External Energy Supply in the European Union," SITE Working Paper Series 2, Stockholm Institute of Transition Economics, Stockholm School of Economics.
- Roman Inderst & Christian Wey, 2003.
"Buyer Power and Supplier Incentives,"
CIG Working Papers
SP II 2003-05, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
- Le Coq, Chloé & Paltseva, Elena, 2011.
"Assessing gas transit risks: Russia vs. the EU,"
SITE Working Paper Series
12, Stockholm Institute of Transition Economics, Stockholm School of Economics.
- Finon, Dominique & Locatelli, Catherine, 2008. "Russian and European gas interdependence: Could contractual trade channel geopolitics?," Energy Policy, Elsevier, vol. 36(1), pages 423-442, January.
- Peter Havlik, 2010. "European Energy Security in View of Russian Economic and Integration Prospects," wiiw Research Reports 362, The Vienna Institute for International Economic Studies, wiiw.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Evelina Bonnier).
If references are entirely missing, you can add them using this form.