The deterioration of the relations between the EU and Russia, caused by tensions over Russia’s annexation of Crimea and Moscow’s active support of the separatist movement in eastern Ukraine, requires a rethinking of EU- Russian energy ties. In particular, the EU should diversify its natural gas imports away from Russian sources. Although costly, a sharp reduction in imports of Russian natural gas is quite feasible. By improving energy efficiency, ramping up EU natural gas production, and increasing imports of liquefied natural gas, the EU can make meaningful progress towards greater energy independence. The economic costs of this transition can be …read more
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