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Russia cutting off gas sent to Austria via Ukraine, Austrian gas supplier says

by The Kyiv Independent news desk and Dmytro Basmat November 16, 2024 3:14 PM  (Updated: ) 2 min read
A Gazprom compression station, the starting point of the Nord Stream 2 gas pipeline, in Ust-Luga, Russia, Jan. 28, 2021. (Andrey Rudakov/Bloomberg via Getty Images)
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Editor's note: This article has been updated to reflect comments made by European Commission President Ursula von der Leyen.

Russia's Gazprom Export announced that its supply of natural gas to Austria is ending on Nov. 16, according to OMV, Austria's largest gas supply company.

The Austrian energy company said it had expected this to occur and will continue to import gas from Germany, Italy and the Netherlands, according to a report from Deutsche Welle.

Russia has been paying Ukraine transport fees to carry its gas to Europe through Ukrainian pipelines as part of a 2019 agreement. Russia has been raking in billions of dollars of profits selling the gas to European partners, including Austria.

The transit deal between Ukraine and Russia is set to expire at the end of the year. Ukraine has repeatedly stated it will not renew the agreement.

Since the outbreak of the full-scale war, European countries have taken steps to sharply reduce their dependence on Russian gas, with the share of Russian gas among EU natural gas imports dropped from 45% in 2021 to 15% last year.

Austria, however, has been importing the highest share of Russian natural gas of any EU country, hitting a record of 98% in December 2023 and fluctuating above 80% in recent months. The country has pledged to eliminate Russian gas imports by 2027.

Austrian Chancellor Karl Nehammer said "the supply is secure" and "no one will freeze," according to Deutsche Welle.

"Our gas storage facilities are full and we have sufficient capacity to obtain gas from other regions," he added.

European Commission President Ursula von der Leyen echoed a similar sentiment on social media declaring that Russian President Vladimir Putin was "using energy as a weapon."

"(Putin) is trying to blackmail Austria & Europe by cutting gas supplies," von der Leyen said. "We are prepared for this and ready for the winter. Gas storage across the EU is full."

Earlier in the week, the International Chamber of Commerce awarded OMV a $243 million award from Gazprom due to irregularities in German gas supplies the company was providing. At the time, the company said it saw the potential for a halt in the gas supply as a result.

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