Posts
It's been a busy year for the state-owned Russian natural gas monopoly Gazprom, which Vladimir Putin has developed into a tool for pressuring small neighbouring countries to turn against the West and forge closer relations with Moscow.
At the beginning of 2006, Gazprom put Ukraine through the wringer by radically hiking the price of gas exports to the pro-Western former Soviet republic. The gas supply was shut off on 1 January after Ukraine refused to pay, then restored three days later after an agreement was reached.
Now at the end of the year, it's déjà vu all over again—but with a twist. Gazprom has rounded on perhaps Russia’s closest ally: Belarus, a country that already supports Russia's foreign policy. Gazprom has reiterated its decision that, as of tomorrow, the price charged to Belarus for Russian natural gas will more than double.
"All this means destruction of our relations" with Russia, Belarus's president, Aleksandr G. Lukashenko, said in comments carried on state television on Friday.
Mr. Lukashenko, often referred to as Europe's last dictator, called Gazprom's position "blackmail" and said Belarussians would rather live in unheated dugouts than pay the higher price.
Russia's deputy prime minister, Dmitri Medvedev, who is also chairman of Gazprom, retorted that Belarus was "blackmailing" Europe by threatening the transit pipelines that cross that country.
The latest price increases have added to concerns about the reliability of the oil and natural gas flowing from Russia, which is a major supplier to Europe but has increasingly wielded its energy resources for political leverage.
Why would Russia strong-arm a close ally? Some analysts believe that Russia's motivation this time is not political imperialism, but simple greed. It just wants the money. Welcome to the world of the real Russian mafia.
Gazprom has given Belarus the option of paying for gas with small unmarked bills shares in Beltransgaz, Belarus's state gas company. In a few short years, Gazprom could be majority owner of Beltransgaz.
Gazprom has also infuriated residents of St Petersburg. It is planning to erect a 300-metre glass office tower that would profane the city’s historic skyline so badly that some Russian bloggers have started a campaign against the company.
The graphic at right shows a monster named Gazilla threatening St Petersburg’s Smolny Cathedral. If you click on the graphic, you will be taken to a flash game created by the St Petersburg branch of the Yabloko [Russian Democratic] Party. The page is entirely in Russian, but the game isn’t hard to figure out: When Gazilla appears, point and fire ASAP.
h/t: Global Voices Online
Previous related posts:
- Russia on the ascendant against divided West
- Belarus: Europe’s most oppressively anti-religious nation
- Russia no longer a politically free, democratic country
- Europe beholden to Russian energy supplies
UPDATE (31 Dec.): Belarus avoided freezing in the dark with only seconds to spare. Two minutes before midnight, a deal was signed for a price marginally below what Gazprom had originally demanded. The deal also calls for Gazprom to purchase 50% of Beltransgaz over the next four years.
