State Capitalism in Time: Russian Natural Gas at the Service of Foreign Policy

This article explores the phenomenon of the enduring state control over the Russian natural gas sector. We suggest that explanations of the underlying motives can be classified under two broad theoretical categories: idealism and utilitarianism. Thus, we argue that state capitalism in the Russian natural gas industry can be understood through the idealistic claims of state power and of serving the national interest, which underpin the dominant perception of natural gas resources as a foreign policy tool. Moreover, we contend that although this perception is often considered as a product of the last decade, in fact it is rooted in history, as a legacy of the Soviet era.