The Russian state gas company Gazprom will stop supplying gas to the Dutch company GasTerra on Tuesday. The gas trader, which is owned by Shell, Esso Nederland and the Dutch state, among others, refuses to pay its bills in rubles. GasTerra does not foresee any problems, because it has already purchased gas elsewhere. Climate and energy minister Rob Jetten says that the supply of gas to Dutch households is not in danger.
Russia announced at the end of March that payments for gas must now be made in rubles. The country did so in response to Western sanctions imposed after Russia attacked neighboring Ukraine in late February. The Netherlands is not the first country that is no longer supplied with gas. Previously, Poland, Bulgaria and Finland were also closed for the same reason.
GasTerra had a contract with Gazprom for the supply of 2 billion cubic meters of gas until the end of September. After that, the contract would expire. The gas price on the leading Amsterdam stock exchange shot up after the announcement of GasTerra, but that was short-lived.
“It is impossible to say in advance what impact the loss of 2 billion cubic meters of Russian gas will have on the supply and demand situation and whether the European market can absorb this loss of supply with limited consequences,” GasTerra wrote in a statement. declaration†
Supply of gas not at risk
“The Dutch market covers about 35 to 40 billion cubic meters of gas per year,” a spokesperson told NU.nl. The share of Russian gas that is currently not purchased is therefore about 5 percent.
The company is not making any statements about the price of the replacement gas. “We estimated in advance that this could happen, so that’s why we bought gas elsewhere.”
In addition to households, companies will not experience any disadvantages as a result of Gazprom’s decision, Minister Jetten said on Monday. The government will continue to monitor developments closely. It also understands GasTerra’s decision not to agree to Gazprom’s unilaterally imposed requirement to receive the gas bill in rubles from now on.
GasTerra is considering legal action against Gazprom
Russia requires gas companies to open an account in euros and one in rubles at Gazprombank. The European gas companies can then continue to pay in euros, after which the bank converts the money into rubles and pays Gazprom. GasTerra thinks that this may violate European sanctions, but also finds the payments too risky because the money at Gazprombank is under Russian control.
GasTerra says it has repeatedly urged Gazprom to adhere to the agreements made. The Dutch gas trader is now considering legal action against Gazprom. “There is in fact a breach of contract. This has quite a few consequences,” said the spokesperson.