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August 18, 2022
ECONOMY

Energy crisis will continue, massive dependence on Russian gas and oil must be phased out, says President Iohannis

The energy crisis will continue, and the massive dependence on Russian gas and oil must be phased out, President Klaus Iohannis said on Wednesday.

“These decisions are already affecting Romania, the entire European Union and, as a matter of fact, the entire world. The energy crisis wasn’t the result of the war Russia launched against Ukraine, but happened in the runup to this attack. This energy crisis was thoroughly prepared and put into practice by Russia. Unfortunately, the crisis will continue, we must be very aware that this massive dependence on Russian gas and oil must change. But the changes won’t happen from one week to the next, because the bulk of the gas and oil comes flowing through the pipe, as they say. Or these pipes cannot be replaced very fast. We have a joint platform created by the European Commission for the purchase of gas, for example, the same will probably happen for oil, in order to find alternative sources. Everyone is working on this, but gas and oil suppliers are aware this is a lucrative business to exploit. The result is that global prices have risen significantly and the way things now stand, will continue to rise. So I think I have to tell you that, unfortunately, this situation will affect us and will continue to do so in the longer term,” the head of the state said before the NATO Summit.

President Iohannis said that it is inevitable that these raw materials become more expensive until alternative suppliers and viable alternative supply routes are found, which at that time will lead to price stabilization.

“Whether we will ever see a drop in energy prices is a subject for theorists to discuss now. In practice, unfortunately, things are expensive and will stay expensive,” Iohannis said, according to Agerpres correspondent in Madrid.

G7 leaders recently agreed to consider introducing price caps on Russian oil and gas imports in an attempt to limit Moscow’s ability to finance the war in Ukraine.

 

Photo: www.presidency.ro

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