The End of Moscow's Energy Dominance: Europe's Gas Market Shift

Russian gas exports via Ukraine pipelines ceased, marking an end to Russia's energy dominance in Europe. The closure won't impact EU consumer prices since alternative supplies have been arranged. The EU bolstered its non-Russian gas infrastructure with significant LNG imports. Ukraine and Russia face financial losses due to the cease in transit.

Russian gas exports through pipelines in Ukraine stopped on New Year's Day, ending years of Moscow's stronghold on Europe's energy sector. Gas continued during the war period, but Gazprom halted it as Ukraine declined to renew the transit contract after nearly three years of conflict.

This anticipated halt won't affect EU consumer prices as alternatives have been secured. Unlike 2022, when Russian supply cuts led to record prices, EU buyers such as Slovakia and Austria have sourced other suppliers. Hungary, however, will continue receiving Russian gas via the TurkStream pipelines.

The EU, prepared for this eventuality, has adjusted its infrastructure to receive non-Russian gas sources, increased LNG imports from other nations. Ukraine, by not extending the transit agreement, signals the EU's departure from Russian energy. Despite losses for both parties, this marks a historic shift in the energy market.

(With inputs from agencies.)