Uniper, the German gas giant, says the worst is yet to come amid gas supply shutdown

It’s barely been a week since Gazprom announced an extended shutdown of the Nord Stream 1 gas pipeline, but the doomsday predictions have already begun to materialize. German energy giant Uniper and its CEO have reportedly warned that the worst is yet to come for the continent of Europe.

“I’ve said it many times over this year and I’m also educating decision makers. Look, the worst is yet to come,” said Klaus-Dieter Maubach, CEO of Uniper.

Adding that wholesale prices had soared exponentially, Maubach called for an open discussion among stakeholders.

“What we see in the wholesale market is 20 times the price we saw two years ago. 20 times. That’s why I think we need to have a really open discussion with everyone who takes responsibility on how to solve this problem, ”

It is pertinent to note that Uniper, Germany’s largest gas importer, has been hit hard by reduced gas supplies from Russia. The company was in such dire straits that the German government had to bail out the company in July with a $15.24 billion bailout.

Read more: Ready to meet Russia’s demand for gas payment, says German energy firm Uniper

As WION reported, Russian gas giant Gazprom had suspended gas supplies through the Nord Stream 1 pipeline for a period of three days, starting August 31.

However, after the G7 group of nations reached consensus on the price cap, the Kremlin quickly announced that new leaks had been discovered in the pipeline, leading to an indefinite shutdown.

Earlier today, Gazprom said the resumption of the pipeline depended on Seimens, the German company.

Asked when the pipeline would resume pumping gas, Gazprom deputy general manager Vitaly Markelov on the sidelines of the Eastern Economic Forum in the Far Eastern city of Vladivostok said: “You should ask to Siemens. They have to fix the equipment first.”

Read more: “You should ask Siemens”, Gazprom on the takeover of the Nord Stream 1 gas pipeline

(With agency contributions)


James R. Rhodes