UN Deputy Permanent Representative Geng Shuang warns of dire consequences for the energy market
Danish Defense shows the gas leaking at Nord Stream 2 seen from the Danish F-16 interceptor on Bornholm, Denmark, September 27, 2022. © Getty Images / Danish Defence/Anadolu Agency
The situation regarding Russia’s Nord Stream pipelines is tragic and may worsen the global energy crisis, China’s deputy permanent representative to the UN, Geng Shuang, said on Friday.
“The Nord Stream pipeline is the main artery for energy transportation in Europe, providing vital gas supplies to 23 European countries. A physical disruption of the pipeline, as a result of the leaks, has exacerbated the energy supply shortages in Europe. Consumers around the world, particularly those in developing countries, are likely to suffer from the resulting volatility in the energy markets and the soaring energy prices… At a time when Europe and the world are facing a proliferation of intractable challenges, this indeed is a great and tragic calamity that we do not wish to see,” the official said at the UN Security Council.
While the price of gas in Europe in September dropped by nearly a quarter compared to the end of August on news that European storage facilities were nearly full, it started climbing this week due to the situation regarding Russian deliveries. According to data from London’s Intercontinental Exchange, the price of October and November futures jumped more than 10% on Friday, to $2,100 per thousand cubic meters.