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Ukraine Crisis: European Energy Wake Up Call? Dr Cyril Widdershoven BD Manager MENA Oil & Gas TNO Energy [email protected] 0031-6-53819265

Presentatie Cyril Widdershoven TNO Delft 16 april 2014

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Page 1: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Ukraine Crisis: European Energy Wake Up Call?

Dr Cyril WiddershovenBD Manager MENA Oil & GasTNO [email protected]

Page 2: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

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About us Our capabilities Our experience

Page 3: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

TNO

TNO is a Dutch company with over 80 years experience in technology development and technical consultancy

TNO FactsIndependent

Technology development, consulting and contract R&D

Approximately 4000 employees

Revenue: ⅔ from industry, ⅓ from Dutch government

Markets Energy, Defence Safety & Security, Transport & Mobility,

Information Society, Medical and Built Environment

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Partners

Page 4: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

VIEWS AND OPINIONS ARE NOT

BASED ON TNO RESEARCH

BUT SOLELY FROM AUTHOR!

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Page 5: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

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Page 6: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Why do we bother about Ukraine?

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Page 7: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

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Page 8: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Russian Gas Pipelines Europe

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Page 9: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Russian Non-Ukraine Strategy to Europe

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Page 10: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Ukraine Totally Depend on Russian Gas Supply

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Page 11: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

European Gas Imports Picture

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Page 12: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

EU Russian Gas Consumption and Dependency

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Page 13: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Analysts: Options/Costs Russian-EU Gas Crisis

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Page 14: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Realism to Prevail: Direct Substitution NO OPTION!

EU-28 gas boycot Russian imports unfeasibleCosts are too high, even that Russia will be hit harder!Replacement not available on short termInfrastructure not available for EU-28Gas storage options only feasible NW-Europe/SpainEastern EU member countries still to be hit extremelyNorth Africa-Caspian options available but not on short termWest Africa-East Africa in future?IRAN TO BE NEXT MAIN SUBSTITUTE? TO BE CONSIDERED!

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Page 15: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Available Options/Reserves/Production

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Page 16: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

EU Energy Strategy to be Changed!

EU Energy Strategy non-functional at presentNationalism prevails above European liberalisation and energy strategyGerman Energie Wende shows trend towards destabilisation EU energy marketsEU needs One Foreign Energy Strategy for all

- strategy needed to attract as one economic block new partners for

diversification supplies

- strategy needed to support import increase and domestic supply (shale

gas?)

Realism should be there to understand that Energy = International Politics

= Security

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Page 17: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Geopolitics at Present to Rule!

EU-Russia (Gazprom) conflict brooming due to geopolitical issuesRussian geopol based on old Russian dream of ‘Grand Empire’Gazprom (and all others) pawn in Putin’s energy politicsIn contrast to EU-US politicians (Schroder-Blair-Bush) views on Putin, latter is no democratic liberal, but old-fashioned ex-KGB politicianKrim issue only first step in Russian Chess GameFollows NATO-US unability to support Georgia beforePotential new targets EU member-countries and NATO members Estland-Letland-Lithuania. Possibility of Article 5 issue Current crisis Eastern Ukraine needs to be solved. If not, ….!

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Page 18: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Outcome Negative for Western Geopolitical Influence

If NATO-EU is not effective in containing Russian expansion more is to followWashington’s inability to step into Middle East Arab Spring Arena already has eroded Western influence Arab countriesPax Americana could be substituted by Pax RussiaArab countries (including North Africa) are not positive about Western support anymoreCurrently international arena tends to ‘Follow the Leader” principle

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Page 19: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

Great Game All Over Again? History Repeats Itself!

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Page 20: Presentatie Cyril Widdershoven TNO Delft 16 april 2014

For questions, please contact:

BD Manager MENA Oil & Gas

Dr Cyril Widdershoven

[email protected]

+31 6 53819265

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