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Natural gas supply stability and foreign policy

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  • Shaffer, Brenda

Abstract

This article studies factors that affect stability of supply of natural gas. It examines the relative influence of political relations between the involved states on the stability of supply. The article identifies the factors that affect the propensity of a state to use disruption of natural gas supply in order to promote foreign policy goals. The article is based on the study of thirty five supply relations and two case studies. The article claims that disruption of supplies can be initiated not only by supplier states, but transit and consumer states. It claims that natural gas supply relations generally take three forms: neither side is dependent on the gas trade, one side is dependent on the gas trade, or the sides are interdependent in the gas trade. Cases of significant asymmetry of the degree of dependence in the gas trade are most likely to be exploited by the less dependent party for foreign policy gain. The article claims that the prevailing political relations between gas trading states are only one of the factors affecting the stability of supply.

Suggested Citation

  • Shaffer, Brenda, 2013. "Natural gas supply stability and foreign policy," Energy Policy, Elsevier, vol. 56(C), pages 114-125.
    • Handle: RePEc:eee:enepol:v:56:y:2013:i:c:p:114-125
    DOI: 10.1016/j.enpol.2012.11.035
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    References listed on IDEAS

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    1. Skea, Jim & Chaudry, Modassar & Wang, Xinxin, 2012. "The role of gas infrastructure in promoting UK energy security," Energy Policy, Elsevier, vol. 43(C), pages 202-213.
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    1. Lu, Weiwei & Su, Meirong & Fath, Brian D. & Zhang, Mingqi & Hao, Yan, 2016. "A systematic method of evaluation of the Chinese natural gas supply security," Applied Energy, Elsevier, vol. 165(C), pages 858-867.
    2. Hao, Xiaoqing & An, Haizhong, 2022. "Comparative study on transmission mechanism of supply shortage risk in the international trade of iron ore, pig iron and crude steel," Resources Policy, Elsevier, vol. 79(C).
    3. Flouri, Maria & Karakosta, Charikleia & Kladouchou, Charikleia & Psarras, John, 2015. "How does a natural gas supply interruption affect the EU gas security? A Monte Carlo simulation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 44(C), pages 785-796.
    4. Gaigalis, Vygandas & Skema, Romualdas, 2014. "Sustainable economy development and transition of fuel and energy in Lithuania after integration into the European Union," Renewable and Sustainable Energy Reviews, Elsevier, vol. 29(C), pages 719-733.
    5. Goodell, John W. & Gurdgiev, Constantin & Paltrinieri, Andrea & Piserà, Stefano, 2023. "Global energy supply risk: Evidence from the reactions of European natural gas futures to Nord Stream announcements," Energy Economics, Elsevier, vol. 125(C).
    6. Athanasios Dagoumas & Floros Flouros, 2017. "Energy Policy Formulation in Israel Following its Recent Gas Discoveries," International Journal of Energy Economics and Policy, Econjournals, vol. 7(1), pages 19-30.
    7. Fischhendler, Itay & Herman, Lior & Anderman, Jaya, 2016. "The geopolitics of cross-border electricity grids: The Israeli-Arab case," Energy Policy, Elsevier, vol. 98(C), pages 533-543.
    8. Girma T. Chala & Abd Rashid Abd Aziz & Ftwi Y. Hagos, 2018. "Natural Gas Engine Technologies: Challenges and Energy Sustainability Issue," Energies, MDPI, vol. 11(11), pages 1-44, October.
    9. Long Zhang & Wuliyasu Bai, 2020. "Risk Assessment of China’s Natural Gas Importation: A Supply Chain Perspective," SAGE Open, , vol. 10(3), pages 21582440209, July.
    10. Su, Huai & Zio, Enrico & Zhang, Jinjun & Li, Xueyi, 2018. "A systematic framework of vulnerability analysis of a natural gas pipeline network," Reliability Engineering and System Safety, Elsevier, vol. 175(C), pages 79-91.
    11. Siddig, Khalid & Grethe, Harald, 2014. "No more gas from Egypt? Modeling offshore discoveries and import uncertainty of natural gas in Israel," Applied Energy, Elsevier, vol. 136(C), pages 312-324.
    12. Khalid Siddig & Harald Grethe, 2013. "No more Gas from Egypt? The Israeli Gas Sector between Offshore Discoveries and Import Uncertainty," EcoMod2013 5446, EcoMod.
    13. J. Magnier, Hamza & Jrad, Asmaa, 2019. "A minimal simplified model for assessing and devising global LNG equilibrium trade portfolios while maximizing energy security," Energy, Elsevier, vol. 173(C), pages 1221-1233.
    14. Dubský, Zbyněk & Tichý, Lukáš & Pavliňák, Daniel, 2021. "A quantifiable approach to the selection of criteria and indexation for comparison of the gas pipeline projects leading to the EU: Diversification rationality against securitisation?," Energy, Elsevier, vol. 225(C).
    15. Gaigalis, Vygandas & Skema, Romualdas, 2015. "Analysis of the fuel and energy transition in Lithuanian industry and its sustainable development in 2005–2013 in compliance with the EU policy and strategy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 265-279.

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