NYTimes: E.U. Weary of Power of Russian Gas

When Russian troops left Eastern Europe after the end of the Cold War more than 20 years ago, Moscow’s influence over the region did not end. It found a new source of power to exert leverage over these newly independent countries. That power was energy.

With few exceptions, the East European countries have since been dependent on Russian natural gas. They had no other option.

Pipelines, built during Soviet times, carried gas to Russia’s satellites from east to west and beyond. To this day, European energy companies have been barred from access to those pipelines, and new grids going from north to south have yet to be built.

These circumstances have given Russia considerable leeway to set gas prices for Eastern Europe. In many cases, say energy analysts, they are higher than what Gazprom charged its West European customers, even though the gas did not have to be transported as far.  MORE