RFE/RL: At 20, Russia's Gazprom Struggles To Stay Dominant
Russia's biggest company turned 20 this year. But at Gazprom, there appears to be little cause for celebration.
The state-controlled natural gas monopoly, which was established as a publicly traded corporation in 1993, recently announced that its net profits fell by 11 percent last year and its valuation dipped below $100 billion for the first time since 2009.
Moreover, Gazprom's books are currently being audited by the Russian authorities and its business practices investigated by the European Union. Some key Kremlin insiders are reportedly even pushing for something that was once unthinkable: splitting up Russia's gas behemoth into smaller units.
Sensing the vulnerability, Gazprom's longtime critics have been quick to pounce on the once-untouchable company.
"Gazprom is in a very profound strategic crisis that began to emerge a long time ago," opposition figure Vladimir Milov, a former deputy energy minister, said during a recent interview with the online news site Nevex.tv. "They were warned many times that their inflexible, unwavering and shoddy policies would lead them into trouble. That trouble has now begun." MORE
Moreover, Gazprom's books are currently being audited by the Russian authorities and its business practices investigated by the European Union. Some key Kremlin insiders are reportedly even pushing for something that was once unthinkable: splitting up Russia's gas behemoth into smaller units.
Sensing the vulnerability, Gazprom's longtime critics have been quick to pounce on the once-untouchable company.
"Gazprom is in a very profound strategic crisis that began to emerge a long time ago," opposition figure Vladimir Milov, a former deputy energy minister, said during a recent interview with the online news site Nevex.tv. "They were warned many times that their inflexible, unwavering and shoddy policies would lead them into trouble. That trouble has now begun." MORE