What the Russia-Ukraine gas transit deal meant for Europe's energy map
An analysis of the gas and transport developments reported in the days before 26 December 2019.
What did the final week of 2019 reveal about the routes carrying Russian energy and traffic? By 26 December 2019, three developments had been reported, and together they showed a region rearranging its links.
On 21 December, Russia and Ukraine reached a new five-year agreement on gas transit. For Kyiv, the deal set the framework for the transit of Russian gas across its territory over the following five years.
The same day brought a complication for an alternative route. Nord Stream 2, the Russian gas pipeline to Europe, said it would finish construction "as soon as possible" after a contractor suspended pipe-laying work because of U.S. sanctions. The suspension left the pipeline unfinished, while the company stated its intention to complete it.
On 23 December, a railway bridge over the Kerch Strait connecting Russia and Crimea, the longest in Europe, was inaugurated. It formed part of the wider picture of Russian infrastructure plans reported that week.
Implications
The transit agreement and the Nord Stream 2 suspension were reported on the same day and concerned two different paths for gas to reach Europe. One was an agreed arrangement running through Ukraine; the other was a pipeline whose construction had been halted by a contractor under sanctions pressure. The Kerch Strait bridge, by contrast, was a completed project.
For Ukraine, the five-year term gave a defined period of arrangement on transit. The outcome for Nord Stream 2 remained open on 26 December 2019, resting on the company's stated intention to finish the work.
