The buffoon delivering a permanent energy crisis
By Andrew Montford | TCW Defending Freedom | October 4, 2022
In 2017 it was announced that windfarms had agreed to sell power to the grid at just £57 per megawatt hour. It heralded, said the cutters-and-pasters of press releases in the mainstream media, a new era of cheap renewable power. A few stubborn souls pointed out that there was no sign that windfarms were getting any cheaper to build and run, but such naysayers were shunned and insulted, and the establishment carried on as if nothing had happened.
Five years on, and the windfarms concerned are busily selling power into the open market at anything between four and ten times the prices they had agreed. Their agreements have gone unfulfilled. The extra cost to consumers is running into billions of pounds every year.
We were tricked, big time. But we live and learn by our errors. You’d have to be pretty slow on the uptake to fall for a multi-billion-pound trick like that a second time, wouldn’t you?
Unfortunately, this is precisely what Sir John Armitt, the chairman of the National Infrastructure Commission, seems to have done. In fact, rather than being ‘once bitten twice shy’, he seems to be pleading ‘Bite me harder, and this time do it where is really hurts.’ Let me explain.
In an article in the Telegraph, Sir John says we need lots more renewable energy, and adds that the latest auctions ‘secured prices nine times cheaper than current high electricity prices set by gas generation’. Well, yes, but we have already seen that auction price contracts are a trick; the last round of agreements were abandoned the moment operators found they could get more in the open market. Does Sir John not know this? Can the chairman of the National Infrastructure Commission really be so divorced from the realities of the energy system? Moreover, he clearly understands that the price differential between gas-fired and wind prices is mostly temporary – a function of the war in Ukraine driving up gas prices – but still believes it should motivate permanent changes to the electricity system. What can he be thinking?
Sir John’s positions on other aspects of the energy system are equally mystifying. He seems to think there is a global market for gas. But a global market would have a global price, and that is simply not the case: European gas prices are (in dollar terms) currently 70 per cent higher than UK ones and 800 per cent higher than US ones (!) Does Sir John not understand this? How can he possibly think there is a global market? Is there nobody at the National Infrastructure Commission who can put him right?
Nor is the auction price trick the only example of Sir John failing to learn from experience. In one notable flight of fantasy in his article he says that ‘reducing prices, enhancing energy security and reaching net zero carbon emissions by 2050 all point in the same direction’. Huh? Between 2002 and 2020, a period when gas prices were broadly flat, electricity prices for consumers roughly doubled, a function of the inefficiencies that renewables impose on every other generator and on the grid as a whole. How can he think that more renewables will bring lower prices? He understands that the gas price spike is temporary! And as for security, the electricity grid has been severely destabilised by renewables (because they have no ‘inertia’, in the jargon). A million people were left in the dark in 2019, and the grid as whole is now in danger of falling over completely. But Sir John wants more!
In similar fashion, he says we should be furiously insulating our housing stock. Yet we simply cannot get away from the fact that most of the housing stock is old and, in our humid maritime climate, needs to breathe to prevent damp and mould. Has Sir John not learned from the fiasco the last time a crash insulation programme was tried? Two million homes were damaged. Lives were ruined. Is he even aware that this happened?
On and on he goes. We should use hydrogen to store energy, he suggests, without apparently a thought to the cost involved. Can the chairman of the National Infrastructure Commission really not understand that in going from electricity to hydrogen and back, two-thirds of the energy is lost? So when we start emptying the hydrogen store, it will set market prices, which will soar in response, probably to levels similar to what we see today, far, far higher than the economy can bear.
In other words, Sir John’s ideas will deliver a permanent energy crisis and a great depression. It is no more than you would expect from such an epitome of the British establishment: urbane, erudite, a consummate networker. And utterly incompetent.
Western regimes are intent on maintaining energy poverty in Africa
By Ekaterina Blunova – Samizdat – 05.10.2022
Sudanese-British billionaire Mo Ibrahim criticized the West on Monday for obstructing African nations’ effort to develop their own hydrocarbon reserves and constantly ignoring the energy poverty problems of the Global South. What’s behind the Global North’s political short-sightedness and who benefits from the controversy?
Even though Africa boasts roughly 12% and 9% of the world’s oil and natural gas reserves, respectively, most of the continent’s nations suffer from energy poverty. However, once the energy crisis hit Europe, EU governments immediately turned to the African continent, seeking to tap its resources while overlooking the continent’s longstanding problems.
“The West’s exploitation of Africa’s wealth is driven by two factors,” explained Dr. Mamdouh G. Salameh, an international oil economist and a global energy expert. “The first is the old racist view that African people are backward and inferior to Western people and therefore can’t defend themselves or protect their natural resources. In a nutshell, it is doable. The second factor is greed and profit, which are the core of the Western capitalist system of taking advantage of poor and helpless people and exploiting their resources without letting them benefit the slightest from their stolen resources. That is how Western empires were built in Africa and around the world in the 19th and 20th centuries.”
The Central African Countries suffer from severe energy poverty because they neither have the infrastructure (refineries, oil and gas pipelines) to benefit from their vast energy resources and also distribute energy, nor do they have the financial means to build such infrastructure, according to the oil economist. The deplorable state of Africa’s energy infrastructure stems from the fact that the West is by no means interested in the continent’s sustainability, Salameh highlighted.
“The ultimate beneficiary from Africa’s energy poverty, particularly refined products, is Western oil companies,” the energy expert said.
One glaring example is the 4,128 km-long Trans-Saharan gas pipeline. It is supposed to link Nigeria to Algeria, passing through Niger and bring Nigerian and Algerian gas exports to Europe while simultaneously benefiting energy-poor African countries from Nigeria’s and Algeria’s plentiful gas reserves estimated at 206.53 trillion cubic feet (tcf) and 159 tcf respectively, the oil economist explained.
Although this pipeline was conceived in the 1970s, it is still at the drawing board stage despite many memorandums of understanding signed over the years, the latest in mid-February, Salameh pointed out, forecasting that “it won’t see the light of day even in the next 10 years.”
“Western countries have consistently ignored Africa’s energy resources for years declining to offer investments as long as they didn’t need these resources at the time,” he said. “But in the aftermath of the Ukraine conflict and having introduced sweeping sanctions against Russia, the European Union is trying to curry favor with African hydrocarbon producers to reduce its dependence on Russia’s gas and oil supplies.”
The unfolding energy crisis offers new opportunities for Africa to develop oil and gas infrastructure and step up production of hydrocarbons. However, while African business leaders and policy-makers are brushing off the dust from their long-delayed energy projects, Western politicians and environmentalists have raised concerns about climate change issues, insisting that Africa’s consumption of fossil fuels could make matters far worse.
“The West puts so much importance on the climate change agenda in Africa,” said Salameh. “I would hazard two explanations for the West’s attitude. The first explanation is that the West is under the misjudged and erroneous view that any future energy assets – like investing in oil and gas production and building pipelines will end up after 2030 as stranded assets. The second explanation is a more sinister one, with the West wishing to keep African energy resources underground in order to satisfy its own appetite for energy in the future.”
Last month, US climate czar John Kerry discouraged investors from funding long-term gas projects in Africa, warning that they would be unable to recoup their investments beyond 2030. According to Kerry, it will be important to capture the emissions from gas after 2030, as the world is set to reach net-zero emissions in 2050.
On October 3, Sudanese-British billionaire Mo Ibrahim lambasted the West for hypocrisy and a double-standard approach at the “Reuters impact” conference in London. Ibrahim drew attention to the fact that the “Global North” is preventing African nations from developing their own gas reserves over climate change fears, while at the same time seeking opportunities to gain from African resources themselves.
This is not the first time that Ibrahim has lambasted Western policy-makers over their Africa policies. In July 2022, the billionaire’s foundation released “The road to COP27: Making Africa’s case in the global climate debate,” dedicated to the forthcoming 2022 United Nations Climate Change Conference in Egypt scheduled for November, 6-18. The report highlighted that “the current climate agenda is failing Africa” and placed the emphasis on the continent’s people’s right to energy access, given that a staggering 600 million Africans are still lacking it.
“The green agenda is hampering African countries from fully tapping and exploiting their hydrocarbon resources,” said Salameh. “This is a double-edged approach in that it enhances energy poverty in Africa while simultaneously depriving the EU of Africa’s energy resources (…) If African countries don’t have the infrastructure, the technical know-how and the financial resources to benefit from their own vast hydrocarbon resources, how would anyone expect them to develop green energy?”
Meanwhile, the Western green agenda for Africa is “faulty,” according to the energy expert: Africa accounted for only 3.8% of the world’s emissions of carbon dioxide (CO2) from fossil fuels and industry in 2020, which is the smallest share among all world regions.
On the other hand, climate groups who call for an abrupt end to fossil fuels and a sudden adoption of renewable energy fail to recognize the obvious lack of logic in this, continued Salameh.
“On their own, renewables aren’t capable of satisfying global demand for electricity and energy because of their intermittent nature,” the oil economist explained, characterizing a total energy transition as an “illusion.”
The current energy crisis in Europe clearly indicated that the Old Continent can’t rely on renewables alone. Furthermore, EU member states had to restart their coal plants after resorting to an anti-Russia energy embargo over the latter’s special military operation in Ukraine.
“While denying Africa’s right to push ahead with its own energy endeavors, the West would be eager to offer investments and technological know-how to the continent in exchange for receiving the lion’s share of the regional hydrocarbon wealth. The West doesn’t care whether African countries are experiencing severe energy poverty or not as long as it gets its hands on these reserves,” Salameh concluded.
Orbán: ‘Sanctions were not decided democratically’
Free West Media | October 5, 2022
Hungarian President Orbán has once again positioned himself as a committed advocate of genuine European interests and persists in his criticism of the EU’s sanctions policy against Russia.
At least in Hungary, citizens will be able to vote on the sanctions that are causing massive damage to Europe, after Orbán confirmed that there would soon be a referendum on this.
“The sanctions were not decided in a democratic way, but decided by Brussels bureaucrats and European elites,” he said in the Budapest parliament. “Although Europe’s citizens are paying the price, they have not been asked,” he added, underlining that “the sanctions imposed are causing enormous damage to Europe.”
Orbán recalled that since the war began, Russia has earned 158 billion euros over the last six months from energy exports at increased prices. That is more than Russia’s total annual export earnings for 2021 in half a year. Half of this, 85 billion euros, was paid for by the EU countries.
Orbán considers this situation to be intolerable: “European companies are unable, or only with difficulty, to pay the sanctioned energy prices. We are waiting for an answer, the whole of Europe is waiting for an answer from Brussels on the question of how much longer we have to go through with this. If this continues, all of Europe will be ruined. It’s time to talk openly about this with our American friends while it’s not too late.”
Pakistan’s Energy Crisis Worsens as Gov’t Fails to Finds Bidder to Supply Natural Gas Before 2028
Samizdat – 04.10.2022
Pakistan Prime Minister Shehbaz Sharif has said that the European countries are purchasing most of the gas supplies available on the market, leaving Pakistan with no source of energy. Similar concerns about difficulties experienced by the ‘Global South’ in meeting their energy demands have been voiced by Indian Foreign Minister S. Jaishankar.
Islamabad has failed to find even a single bidder in response to a tender floated by Pakistan LNG Limited (PLL) for supplying liquefied natural gas (LNG) between 2023 and 2028, as per an official document.
As per tender documents, the PLL had in August invited bids for the supply of 72 units of LNG cargo starting in January next year. Under the terms of the tender, the government agency said it wanted to import 140,000 cubic meters of LNG every month for six years. The results of the bid were published on Monday.
A tender for procuring 10 cargoes of LNG floated by the Pakistani government in July had also failed to attract even a single bidder.
The latest development comes against the backdrop of an ongoing energy and economic crisis in the South Asian country, which is grappling with power shortages owing to a shortfall in energy supplies spurred by high prices and a surge in demand in the European countries.
Pakistan has also been facing the problem of depleting forex reserves and is awaiting the disbursement of $1.17 billion from the International Monetary Fund (IMF) after reaching a staff level agreement (SLA) in July.
Billions of dollars in aid are also awaited from other countries such as Qatar, Saudi Arabia and the UAE, the authorities have said.
S&P Global said last month that power shortages have been exacerbated by unprecedented flooding, as major grid stations have been endangered due to the climate disaster and connectivity options have been disrupted.
Before the floods struck in June-July, Pakistan was already reeling under high energy import bills, which had surged 91 percent to $4.98 billion on a year-on-year basis as of the end of the financial year in June, as per the Pakistan Bureau of Statistics.
A report by Institute of Energy Economics and Financial Analysis (IEEFA) has said that energy import bills could increase to more than $32 billion by 2030.
The global surge in energy prices has largely been blamed on Western sanctions against Russia in the wake of the eruption of Ukraine crisis, with many European countries looking for alternatives to Russian energy.
As the EU seeks to draw down its reliance on Russia, which has been EU’s primary supplier of gas, many EU countries have ramped up their imports from other countries such as Qatar, another major producer of natural gas.
In many cases, the richer EU nations have been offering better rates for sourcing energy than the developing countries.
As truce ends, Yemen warns oil companies to leave Saudi Arabia, UAE

Press TV – October 2, 2022
Yemen’s Armed Forces have put oil companies operating in Saudi Arabia and the United Arab Emirates on notice, warning that they could be targeted as long as Riyadh and its allies fail to commit to a proper ceasefire.
Tweeting on Sunday, the Armed Forces’ spokesman Brigadier General Yahya Saree said Yemeni troops were providing the oil companies with a window of opportunity to leave the Saudi and Emirati soils “fast.”
The Saudi kingdom and its allies, most notably the United Arab Emirates, have been waging a war against Yemen since March 2015, trying, in vain, to restore Yemen’s power to its former Riyadh-friendly officials. The military campaign, which has been enjoying unstinting arms, logistical, and political support from the United States, has killed hundreds of thousands of people, and turned the entire Yemen into the scene of the world’s worst humanitarian crisis.
A temporary United Nations-mediated ceasefire took effect between the warring sides in April and has been renewed twice ever since. The truce, however, expired on Sunday amid the invading coalition’s constant violations of the agreement and its refusal to properly lift a siege that it has been enforcing against Yemen simultaneously with the war.
“The warning,” Saree said, “stands as long as the countries that make up the invading American-Saudi coalition refuse to adhere to a ceasefire that allows the Yemeni people to exploit their oil wealth….”
Also on Sunday, Hans Grundberg, the United Nations’ special envoy for Yemen, confirmed failure of efforts aimed at extending the truce.
“The UN special envoy regrets that an agreement has not been reached today, as an extended and expanded truce would provide additional critical benefits to the population,” a statement said.
“I urge [the warring parties] to fulfill their obligation to the Yemeni people to pursue every avenue for peace,” the Swedish diplomat was quoted as saying.
Western-imposed Green Agenda Would ‘Cripple’ Africa’s Energy Security, Energy Expert Warns
Samizdat – 01.10.2022
The African Development Bank Group estimates that more than 640 million Africans have no access to energy, with the continent enjoying an overall electricity access rate of just over 40 percent. Multinational energy giants have systematically underfunded local energy projects, all while searching for new sources of oil and gas for Western markets.
Despite its untold riches in energy and other natural resources, Africa remains the least developed continent on the planet when it comes to access to the benefits of this wealth by ordinary citizens. The International Energy Agency has estimated that among Africa’s 54 nations, only nine – Algeria, Egypt, Gabon, Ghana, Kenya, Morocco, Libya, South Africa and Tunisia, enjoy electrification rates of 85 percent or above.
Even countries endowed with large reserves of oil and gas like Nigeria, Angola, Sudan, Congo and Uganda have been unable to provide the vast majorities of citizens with access to these resources, with 38 percent of Nigerians, 57 percent of Angolans, and 71 percent of Ugandans lacking access to electricity.
For nations with smaller energy reserves, and those without proven oil and gas assets, the figures are even gloomier, with just 9 percent of Chadians and residents of the Democratic Republic of the Congo hooked up to the electricity grid, while only 12 percent of Liberians, 14 percent of the residents of Niger, and 18 percent of Somalis enjoy access.
The causes of the continent’s stunted energy status are multifaceted, ranging from the legacy of colonialism to decades of plunder of energy rich nations’ resources by foreign multinationals, to a dearth of capital for domestic investment, to efforts by Western powers and international institutions they control to force the region to reject fossil fuels in favor of renewables.
The problem has only been exacerbated by the global energy crisis caused by Western nations’ efforts to sanction or restrict Russian oil and gas purchases. In August, Germany’s Handelsblatt newspaper reported that European states have made a push to fix the energy shortfall by outbidding developing nations for contracts from other global suppliers, driving poorer countries out of the market.
Last year, Nigerian Environment Minister Mohammad Mahmood Abubakar accused the developed West of deliberately defunding Africa’s natural gas projects on the grounds that they contribute to the global climate crisis, notwithstanding the fact that the entirety of Sub-Saharan Africa produces just 0.55 percent of the world’s carbon emissions.
In 2021, the European Investment Bank stopped financing hydrocarbon development projects in Africa altogether as part of an “ambitious new climate strategy and energy lending policy.” The same year, the World Bank announced plans to shift resources from energy projects to “combating climate change.”
“Africa’s oil and gas sector is experiencing underproduction and underinvestment as major international majors exit portfolios in key hydrocarbon producing countries such as Nigeria and Angola,” says N.J. Ayuk, chairman of the African Energy Chamber, a Johannesburg-based nonprofit advocating energy development in Africa, for Africans.
“Projects operated by majors in the deep-water projects are cost intensive. But also, capital restrictions by Western financial institutions are crippling the African gas market. Without finance, energy poverty rates will go up dramatically,” Ayuk says.
Characterizing energy poverty as the “single most important issue” facing the continent, the expert dismisses Western-backed institutions’ efforts to push Africa toward renewable energy, pointing out that as things stand, underdevelopment of hydrocarbon resources means that 45 percent of the continent relies on highly polluting hard biomass for energy.
As for renewable sources of energy like solar, wind and hydrogen power, Ayuk warns that the push being made in this direction threatens to “cripple” the continent.
“Many existing power grids in Africa remain underdeveloped, such that an intermittent supply of energy can threaten the stability of an entire grid,” the observer says, referring to the tendency for renewable energy to depend heavily on weather conditions.
“Such is the case in Kenya, which is widely considered to be at the forefront of Africa’s energy transition, building momentum in the renewable sector with the 310 MW Lake Turkana wind farm and 50 MW Garissa solar PV station. Some 15 percent of Kenya’s installed capacity comes from solar and wind, but as our 2022 Outlook reports, they have experienced severe voltage instability. Better system management, upgraded infrastructure, and long-term power storage technology are needed to solve these problems, but implementing these things on a nationwide or continent-wide scale won’t happen overnight,” Ayuk explains.
Another problem is Africa’s “near-complete” dependence on foreign equipment and expertise for its renewables capacity, with the majority of solar cells and windmills made in China, Europe or the United States, who also provide training and tech related to the installation, maintenance and repair.
“Economically, this means fewer home-grown jobs for Africans in this sector until such capacity can be developed. It also ensures [insecurity] of supply in case war or politics cripples the ability to import key raw materials and workers,” Ayuk stresses.
What Is To Be Done?
An alternative to listening to foreign dictates on energy policy is to focus on domestic resources, and to partner with those nations which are ready to help Africa secure its energy independence.
For Ayuk, this means intra-African natural gas pipelines capable not only of working to diminish energy poverty, but stimulating a drive toward industrialization which will translate to jobs. To stimulate development, African nations will need to stimulate capital investments and reduce taxes, and to work conscientiously to focus on infrastructure for domestic use, instead of export.
“Energy demand across Africa is expected to triple within the next 20 years – faster than anywhere else in the world – as a result of population growth, rising incomes, and rapid urbanization. To meet such rapidly accelerating demand, Africa needs the ability to make use of its existing natural resources and human capital, and to employ tried-and-true solutions that will reliably keep the lights on when the wind won’t blow and the sun won’t shine. Mitigating climate change must remain part of the equation, but the perfect cannot be allowed to be the enemy of the good when so many people are starting from zero,” the analyst says.
Russia can play an important role in improving Africa’s energy security, the observer believes, with Moscow needing to step up its game on the fulfillment of memorandums already signed, and to engage in the financing of gas projects, as well as sharing the country’s substantial expertise on the construction of infrastructure.
Earlier this year, Nigerian Minister of Petroleum Resources Timipre Sylva announced that Russian investors had expressed an interest in the financing of a massive gas pipeline project running from Nigeria to Morocco. If implemented, the prospective 5,600+ km piece of infrastructure would connect nations along the entire West African coast to natural gas, serving as a catalyst both for electrification and for regional economic development.
Nigeria has over 206 trillion cubic feet of proven natural gas reserves valued at trillions of dollars, but has long been starved of capital for the development of these resources.
Speaking to Sputnik last week, Sylva expressed confidence that Nigeria and Russia would be able to cooperate to help stabilize the global supply of energy.
However, last month, Biden administration climate envoy John Kerry warned against long-term gas projects in Africa, claiming countries that make investments would be unable to recoup their investments beyond 2030, and that the continent should instead focus on cleaner energy sources.
Dismantling Nord Stream Means Cutting Putin’s “Arteries of Power”: Agitator Manifesto
eugyppius – September 30, 2022
Back in August, before the Nord Stream attacks, it was possible even for dim Green journalists to see that destroying the pipelines would be to Russia’s disadvantage.
Felix is a 31 year-old reporter for Welt with Green tendencies and very little intelligence or knowledge. He’s responsible for a string of ridiculous articles about how the German “gas panic” is exaggerated and why he should be allowed to donate money to arm Ukraine. Back in August, this ridiculous man wrote a long editorial about why Germany should “Dismantle the pipelines” because “That would be the ultimate sign of strength against Putin.” Reading this today, after the very pipelines Eick deplores have been destroyed, is instructive indeed:
The energy crisis hurts … But we must not lose sight of the big picture. Shifting away from Russian fossil fuels remains the most important thing. … The West should … turn the tables … with an ultimate sign of strength – and start pipeline demolition wherever it can. Every kilometre less pipeline means more freedom. …
Basically, with greater or lesser reduction in prosperity, we will succeed in destroying the greater part of this autocrat’s business model, and in freeing ourselves from the grip of his blackmail. As for Putin, he has fallen into a trap of his own making: Russian soil is full of oil and gas, but the leader of the self-declared energy superpower will be able to do less and less with it. Already, gas pipeline exports to Europe are at a 40-year low.
Above all, however, the gas emperor Putin must no longer be able to use gas as a political weapon. That is why we must take the decisive step. Too often, the sweet smell of the Kremlin has lured Germans in particular back again and again, despite all their political and ideological reservations. We should decide today to protect ourselves more strongly from Russia, also at an economic level. It is not enough to conclude treaties with other states and replace Russian oil and gas. Nor is it enough to rely more on renewable energies, even if energy sovereignty is still the best means against despots and madmen.
Germany and Europe should send a tougher signal to the Kremlin – one that hits Putin’s system at the root. We should decide today to dismantle the pipelines as far as possible, and we should start as soon as possible. Even if it’s only the few kilometres of pipeline on German soil. …
The two Nord Stream pipelines run through areas that cannot be assigned to any territory, but but rather belong to the so-called “exclusive economic zones” of Finland, Sweden and Denmark. These countries would presumably be in favour of dismantling at least Nord Stream 2, if only because the ailing Nord Stream 2 AG is unlikely to be able to pay enough for maintenance. …
The exit from the pipeline system would be worthwhile, because without pipelines, Putin’s system is nothing. In 2021, 45 per cent of Russia’s state budget was financed by revenues from oil and gas, and about 80 per cent of their exports flow through pipelines. About three quarters of natural gas exports go to the EU, as well as about half of oil exports, according to the US Energy Information Administration (EIA). Gazprom has also failed to invest in LNG technology and instead has always relied only on pipelines. Without these arteries of power, the system faces extinction. Even a declaration of intent would make Putin shudder, much as his threat of a nuclear strike made us shudder. …
“Away with the pipelines” does not mean “Never again Russia.” Russia, however, would have to accommodate the West as a consumer of its primary economic product. Reduced pipeline capacity simply means more independence. Gazprom would have to invest in liquid natural gas and build appropriate terminals. Sourcing gas and oil from Russia would become one possibility among many – without anyone being able to turn off the tap overnight.
Two months ago, even arrant fools like Felix Eick could see that destroying Nord Stream would hurt Russia. Now that somebody has actually destroyed Nord Stream (or the better part of it), we have to read harebrained theory upon harebrained theory about why Russia is actually responsible and how the end of these pipelines confers an overwrought twelve-dimensional chess advantage to Putin or helps Gazprom escape hypothetical lawsuits or permits Russia to escape sanctions. I wonder what Felix Eick thinks about all these theories. Perhaps he’d like to thank Putin for bringing about the reforms he has long demanded?
Western economic warfare backfired, new depression likely to come
What awaits Europe with Nord Stream pipelines possibly gone forever?
By Uriel Araujo | September 30, 2022
Now that the Nord Stream pipeline might have been sabotaged by Washington, as promised by US President Joe Biden on January 7, and is possibly gone forever (according to German authorities), it is time to consider the possible impacts.
The energy crisis in the EU has always been pushed by American interests. Moreover, the US has been engaging in economic warfare and even weaponizing the dollar for too long, but it has been clear for months now that its current economic and financial war against Russia has backfired – and once again, mostly upon Europe. Such economic wars in fact may dangerously spiral out of control, and are considered to be one of the causes of the 1929 crisis in the post-Versailles world.
Philip Pilkington, an Irish economist who works in investment finance, famous for his contributions on the empirical estimate of general equilibrium and other fields, has made quite interesting observations about the possible deindustrialization of Europe as a consequence of economic warfare. He remarks on how in the post-pandemic world debts in the West have been accumulating and, on top of that, the current conflict in Ukraine has brought extra energy costs.
After the conflict ends – or becomes a “frozen conflict” – or after good diplomacy is reestablished, Russia could start to once again supply gas to Europe as usual – this is how many analysts reasoned. However, now that the pipelines are gone, the price of energy in the continent is to remain tremendously high for years to come. With permanent high energy prices making manufacturing not economically viable anymore (thus decreasing European purchasing power), one should expect to see the bloc shutting out exports to revive an uncompetitive industry while increasing energy investments. These are Pilkington’s main points and it might be worth delving into them.
Pilkington argues that high energy costs will make the European industry largely uncompetitive because manufacturers will have no choice but to also raise the price of goods, which in turn, will not be able to compete with cheaper foreign goods. The economist goes on to argue that, in this scenario, with many manufacturers out of business, the result will be the loss of key jobs, with less employed people spending money and a new economic depression.
Thus, Pilkington reasons, the United States will not be able to “reshore” European manufacturing for too long because there simply won’t be anyone in the continent to buy the products the US ships to European shores. This crisis will thus affect Americans too, because as exports to Europe fall, US workers also lose their jobs. What could EU states do in such a scenario? The Irish economist writes quite convincingly that a tariff solution would be the most obvious one: by raising tariffs, these countries will be able to “render international products as expensive as the domestic products suffering from energy cost inflation.”
The result of that can only be more economic chaos for the West, while Europe “shuts itself off” and becomes a kind of a “black hole”, in a repetition of the 1920 events which resulted in the Great Depression, writes Philip Pilkington.
However, the global situation today has changed much, with the BRICS+ alliance, apparently aimed at “decoupling from the Western economy.” For a while, the rise in commodity prices has been perceived as a result of Western sanction policies, and this has forced the global south to look for parallel mechanisms and alternatives. Therefore, these emerging powers have the potential to build a “separate economic bloc”, which means the West would suffer the most from the economic chaos, as BRICS+ “has a relatively clean bill of economic health”.
All of this is a quite likely scenario and one should also consider the political implications. The economic crisis will in all likelihood bring back protectionism, and it might come accompanied by a 1930-like political climate. This in turn can only strengthen the populist camp in Europe. Populist and so-called “far-right” tendencies have been growing in the continent for years and the time seems to be just right for speeding up this phenomenon.
One remembers defeated French Presidential candidate Marine Le Pen promised to pull France out of NATO during this years’ elections. Meanwhile, in August, Hungary had once again the lowest energy prices in the EU. Over 8,700 sanctions have been imposed on Moscow, and yet they have hurt Europe more than Russia as Hungary’s Prime Minister Viktor Orban has been a strong critic of such sanctions. In fact, whether one likes the man or not, he has oftentimes been the voice of reason in the bloc. Now, the German eurosceptic Alternative für Deutschland (AfD) political party is heavily focusing on attacking European elites and opposing the German government’s sanctions against Russia. This trend is everywhere across the EU.
It is about time Europe assert its sovereignty, however such a political stance is largely marginalized in the continent. Thus, although a European populist wave should increase skepticism about NATO and the EU itself, it will also increase political instability and turmoil. To sum it up, in the worst post-Nord Stream scenario, one can then expect a deindustrialized and isolated Europe going through a serious political and economic crisis.
Uriel Araujo is a researcher with a focus on international and ethnic conflicts.
Should Europeans ‘Thank’ the Americans for Destroying Nord Stream?
By Robert Bridge | Strategic Culture Foundation | September 29, 2022
With an investigation continuing into the destruction of the Nord Stream gas pipeline that provided energy supplies to Europe from Russia, there appears to be just one prime suspect, and that should surprise nobody.
Following the sabotage of the Nord Stream 1 and 2 gas pipelines, former Polish Foreign Minister Radoslaw Sikorski already seemed to know the identity of the perpetrator when he tweeted out: “Thank you, USA.”
At first glance, it seemed that Sikorski was speaking sarcastically, berating Washington for carrying out an attack that will have severe repercussions for the people of Europe. After all, how could anyone see any good coming from the termination of Europe’s primary source of gas reserves with winter just around the corner? It was Sikorski’s homeland of Poland, after all, that urged its citizens to collect firewood in the face of dwindling gas reserves.
In fact, the Polish diplomat was speaking one-hundred percent literally, thanking the United States for plunging the continent deeper into the abyss. This has been the attitude of European leaders from the start of Russia’s special military operation in Ukraine: ‘we will accept our self-destruction as scripted by Washington policymakers so long as the baddies in Moscow hear our virtue-signaling whimpers and screams.’ European capitals are about to learn the hard way that virtue signaling does not put food on the table or heat homes.
Judging by the rising temperature in Europe, however, last seen in Italy where a far-right leader has come to power on the wave of voters fed up with high electricity bills and loose immigration, the phrase ‘Thank you, USA’ may eventually be chiseled into Europe’s tombstone.

But first, the big question: was the United States really responsible for the destruction of Nord Stream, as Sikorski seems to believe? Well, if we were are to take bumbling Joe Biden at his word, then the answer would seem to be yes.
“If Russia invades, that means tanks or troops crossing the border of Ukraine, again, then there will be — there will be no longer a Nord Stream 2,” the U.S. leader told reporters two weeks before Russia began its Ukrainian mission. “We will bring an end to it.”
When asked to specify, Biden responded, “I promise you, we’ll be able to do it.”
There are other clues that point to American complicity.
On September 2, an American helicopter with the call sign FFAB123 was observed maneuvering in the area of the Nord Stream pipelines. According to the site ads-b.nl, six aircraft used this call sign that day, of which the tail numbers of three were established. All of them were Sikorsky MH-60S. By overlaying the FFAB123 route on the scheme marking the areas of the explosions, it is observable that the helicopter either flew along the Nord Stream-2 route, or exactly between the points where the ‘accident’ occurred.
Meanwhile, on Twitter, there are screenshots of other American aircraft flights as of September 13th in exactly the same area. In June there was an article in Sea Power magazine where the Americans boast of experiments in the field of underwater drones that they set up at the BALTOPS 22 exercises – in the area of Bornholm Island, the Danish island where the explosions were reported to have occurred.
“Experimentation was conducted off the coast of Bornholm, Denmark, with participants from Naval Information Warfare Center Pacific, Naval Undersea Warfare Center Newport, and Mine Warfare Readiness and Effectiveness Measuring all under the direction of U.S. 6th Fleet Task Force 68,” Sea Power reports.
Such an “experiment” would have required the deep-sea equipment needed for reaching the depths where the Nord Stream pipelines are located.
Finally, here’s one last tantalizing piece of information for all of the ‘coincidence theorists’ out there. On the day after Nord Stream 1 and 2 went offline, Poland, Norway and Denmark’s leaders attended the opening ceremony of the new Baltic Pipe, which will transport natural gas from Norway via Denmark and through the Baltic Sea to, yes, Sikorski’s ferociously Russophobic homeland of Poland. Yes, just a coincidence.
However, the main motivating factor for Washington having a hand in destroying Nord Stream is the awesome powers – both financial and political – that it will reap. The economic crisis in Europe is already forcing companies and corporations to consider relocating to the U.S., which is providing a better business environment and more or less affordable electricity bills.
And after the destruction of Nord Stream, the economic situation on the continent will deteriorate significantly. Even though the NS-II was not launched, there was the chance of its launch, and this “chance” had a considerable effect on the market. Now, without its main energy supplier, Europe is doomed while America will soar.
The economic destruction of Europe makes it totally dependent on the U.S. economically, politically, and militarily, turning it into a toothless tiger with no political will and independence. At the same time, Europe will become almost completely dependent on the U.S. for its (prohibitive) gas. The United States plans to supply at least 15 billion cubic metres (bcm) of liquefied natural gas (LNG) to European Union markets this year as Europe seeks to wean itself off Russian gas supplies.
In other words, the transformation of the EU into a banana republic – albeit it one in the northern hemisphere with winter quickly approaching – has already begun.
Europe, you really should have heeded the advice of Henry Kissinger, who understands the nature of the U.S. better than anyone: “To be an enemy of the U.S. is dangerous, but to be a friend is fatal.”
Who wins from demolishing the EU’s gas lifelines?
By Rachel Marsden | Samizdat | September 29, 2022
Speculation abounds since both Nord Stream 1 and 2 pipelines, designed to carry cheap Russian gas to Europe, were damaged this week in what officials widely describe as deliberate acts of sabotage. Who could be responsible? Incidents buried in the past may provide a clue.
Speculation abounds, and typically in a direction colored by the preexisting biases of the person speculating – which is hardly helpful.
Let’s start with the end result and work backwards. The outcome ultimately means that Europe’s economic impetus for ever seeking peace with Russia has been seriously undermined, if not literally destroyed. Someone has taken it upon themselves to demolish the remaining bridges between the two. Until now, there was always a chance of reconciliation. Russian President Vladimir Putin said himself recently that all the EU needed to do to pull itself out of its self-imposed energy crisis was to push the button on its gas supply from Russia and drop the anti-Russian sanctions that prevent it from doing so.
People in the streets of German cities protesting against Berlin’s blind following of Brussels’ anti-Russia sanctions also knew that was the answer. But now that option has been taken off the table. The EU is now adrift amid a deepening energy crisis and someone burned its last sails. It’s clear that Europe itself wouldn’t benefit from that. Nor does it benefit at all from any of its own anti-Russian sanctions. But who gave Brussels that idea, to harm its own economy in the first place?
At the onset of the Ukrainian conflict, it was Washington that egged on the EU to mirror measures that Washington itself had adopted in an effort to deprive Moscow of revenues to fuel its interests and objectives in Ukraine. The problem is that the EU’s economy was far more entwined with Russia’s than America’s. Any sense that US President Joe Biden and his administration may have given EU leaders, that they’d be there to help the bloc soften the blow of its self-sacrificial sanctions, has since been replaced by a harsh, pragmatic reality. US shale executives have explained to Western media that they simply lack the capacity to ramp up production for Europe’s winter crunch, even amid the growing rationing, deindustrialization, and risk of blackouts.
So, pressure has recently been increasing on EU member states to achieve a rapid diplomatic, peaceful resolution. But any reconnection of Nord Stream gas would have been a blow to US economic ambitions, which eventually include turning the EU into a dependent liquefied natural gas client. To that end, US officials have even tried to market their natural gas in the past as “freedom molecules,” in contrast to the “authoritarian” Russian gas.
Biden himself said of Nord Stream 2 during a press conference on February 7, before the Ukraine conflict had even popped off, that “we will bring an end to it,” despite it being out of American control. But even long before that, the US was sanctioning and bullying European companies into halting construction on Nord Stream 2 under the pretext of saving Europe from Russia. It’s worth noting that Europe didn’t really have problems with Russia this century until the US decided to make Ukraine an outpost for the State Department.
Not only did Gazprom, Russia’s state-owned operator of the pipeline, persist against all odds to finish it, but it’s really the only leverage that Moscow has in Europe. Attributing to Moscow the recent sabotage of their own economic interests in Europe seems absurd. The damage done to the pipelines now means that to prevent them from being completely filled with sea water and destroyed, Russia is forced to keep pumping gas through them and into the sea at their own expense. What exactly does Moscow gain from any of this? Conversely, what does Washington gain? Nothing less than Brussels’ full dependence, which proved elusive when Europe could split its interests between the east and west.
As for who possesses the technical ability to execute underwater pipeline sabotage, both Russia and the US do. Much has been made in the past of the potential for cutting undersea cables – defined as an act of war by UK defense chief Admiral Sir Tony Radakin. The US actually has a history in such operations, having tapped into undersea cables to spy on the Soviet Union in the 1970s Operation Ivy Bells, according to public records about Operation Ivy Bells. Washington also has sabotaged Soviet gas pipelines before, albeit indirectly – according to Thomas C. Reed, a former Air Force secretary who served on the National Security Council in 1982, when then-US President Ronald Reagan allegedly approved a plan for the CIA to sabotage components of a pipeline operated by the Soviet Union. The objective was to prevent Western Europe from importing natural gas from the Soviets. Sound familiar?
Time and inquiry will uncover the culprit eventually – if we’re lucky. EU officials are vowing to get to the bottom of it. “All available information indicates leaks are the result of a deliberate act. Deliberate disruption of European energy infrastructure is utterly unacceptable and will be met with a robust and united response,” Tweeted the bloc’s chief diplomat, Josep Borrell. Perhaps investigators could pay a visit to Radoslaw Sikorski, European Parliament member and former Polish foreign minister, who tweeted a photo of the disaster aftermath along with the note, “Thank you, USA.”
But if it indeed turns out that Washington committed what some consider to be an act of war against Europe’s economy, will Brussels have the heart to really confront it? Or will Brussels continue to find justifications to remain complicit in its own demise?
Rachel Marsden is a columnist, political strategist, and host of independently produced talk-shows in French and English. rachelmarsden.com
‘US Wants to Destroy EU as Economic Player’: Analysts Mull Ramifications of Nord Stream Breakdown
Samizdat – 28.09.2022
The Nord Stream 1 and 2 natural gas pipelines have been effectively rendered inoperable this week due to an incident that may have been an act of sabotage.
As the Nord Stream and Nord Stream 2 natural gas pipelines are currently incapable of transporting natural gas from Russia to Europe, experts ponder who is going to benefit from this catastrophe.
Vladimir Demidov, an international analyst of energy and natural resource markets, told Sputnik that the parties who oppose negotiations between Germany and Russia definitely benefit from the Nord Stream breakdown.
As these negotiations may lead to sanctions against Russia being partially lifted – potentially in exchange for gas shipments during winter – those who want to keep these sanctions in place could also be regarded as an interested party, he added.
“This is an act of aggression on a planetary level,” Demidov remarked. “A country or a bloc destroying infrastructure of another country. And we’re not talking about domestic infrastructure here, but infrastructure that connects countries and supplies about 30 percent of the natural gas Europe uses.”
Russian National Energy Security Fund analyst Igor Yushkov also observed that neither Russia nor Germany were interested in the pipeline’s destruction: for Berlin, Nord Stream presented an option to stave off a potential “energy collapse” during winter, while Moscow invested a lot of money into the project.
Both Demidov and Yushkov observed that Europe will now have to purchase natural gas from the United States, the largest liquefied natural gas supplier while it looks like Russia was essentially squeezed out from the European natural gas market.
“The natural gas from the US is going to become more expensive and Europe would still have to buy it because there is no other gas,” Demidov said. “A very amusing diversification has occurred in Europe: they switched from key supplier of the ‘bad’ gas from Russia to the ‘freedom’ gas from the United States that costs at least twice as much.”
He also pointed at former Polish Foreign Minister Radoslav Sikorsky, who “thanked” the United States on social media for the Nord Stream breakdown, with Demidov arguing that when people of such caliber make such statements, it looks as if they are trying to make the truth look like a joke.
“I have a feeling that the United States really wants to destroy the European Union as a global economic player,” he said.

