Saakashvili Slams Russia’s Energy Policy

Manipulation of energy prices and supplies is a critical tool of those in Russia who believe that gas is the best mean of political influence, President Saakashvili says in his article published by the Washington Post on January 9.

Saakashvili said that a momentary crisis involving halting of gas supply to Ukraine “should have wide-ranging ramifications for the economic security of Europe and raise questions about any notion of a role for Russia as a reliable energy supplier.”

He said that this crisis was a clear message for the EU that “there can be no energy security when an undependable neighbor is willing and able to use its energy resources as a weapon in political influence.”

“The fig leaf of “market rates” that Russia traditionally uses as cover to jack up prices or to cut off energy supplies is disingenuous at best. There is nothing “free market” or “market rate” behind Russian energy prices. Manipulation of energy prices and supplies is a critical tool of those in Russia who believe that hydrocarbons are the best means of political influence. In Georgia, both Abkhazia and South Ossetia, two areas that are outside of our control and whose separatist authorities are directly controlled by Russia, receive natural gas free — hardly a practice free-marketeers would applaud,” Saakashvili said.

The Georgian President also criticized Russia for “scuttling the deal” between Georgia and Kazakhstan wherein the latter agreed to deliver gas to Georgia but the Russian energy giant Gazprom refused to transit it via Russia.

Saakashvili said that Georgia is “moving aggressively” to diversify its energy sources and transportation networks.

“The recently completed Baku-Tbilisi-Ceyhan pipeline, which brings natural gas from Azerbaijan to Turkey and crosses Georgia, is a critical piece of this effort. For Europe, the Black Sea states hold the key for new routes to bring in energy supplies from the Middle East and Central Asia. We are willing to work closely both with our European partners and with Russia to make the whole system transparent, predictable and immune to — or insulated from — political shocks,” Saakashvili said.

This post is also available in: ქართული (Georgian) Русский (Russian)