Borrell Urged to Follow a Common Approach in Relations with Russia
OREANDA-NEWS. The head of EU diplomacy, Josep Borrell, against the backdrop of the energy crisis, called on the countries of the union to "rally their ranks" and follow a common approach in relations with Russia.
"Energy issues are important reasons for the EU to become more united in its relationship with Russia," he wrote on his blog. He lamented that in the past, the EU states did not always show a unified approach in relations with the Russian Federation.
The head of European diplomacy also acknowledged that both the EU and Russia are dependent on each other in the field of energy. "The EU depends on Russia for fuel imports, but the Russian economy and the state also need revenues from energy supplies," Borrell concluded.
Gas prices in Europe have risen sharply in recent months. Back in early August, the price of the nearest futures on the Dutch TTF index was about $ 515 per thousand cubic meters, and in early October it exceeded the $ 1,900 mark, reaching a historic record. All this increases the cost of electricity for EU residents.
The contract between Gazprom and Hungary for the supply of gas bypassing Ukraine is in line with European legislation, said Josep Borrell, the EU's supreme chairman for foreign affairs and security.
According to him, the EU countries have the right to freely conclude bilateral agreements.
According to HSE economist Igor Kovalev, a number of EU countries will follow the example of Hungary.
“I think that a number of countries will undoubtedly follow this example, because paying exchange and market prices is, of course, very costly even for the rich EU countries. Therefore, many countries, primarily the countries of Central and Eastern Europe, which are historically accustomed to to have relations with the Soviet Union, with Russia, may well follow the example of Hungary, conclude their own contracts, bilateral contracts with Russia, with Gazprom, and receive gas at lower prices than market prices, "the expert said.