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Germany prepares for “chaos” in the event of loss of Russian gas


A possible Russian gas cut would lead to recession and “chaotic conditions”, various German officials are now warning.

Former US President Donald Trump’s warning that Germany’s dependence on Russian gas would have extremely negative long-term consequences appears to have proved prophetic, with officials in the country now warning of “chaotic conditions “and a severe economic recession if they lost access to supplies from Moscow. .

The warnings come as Germany grows concerned that when the Kremlin shuts off gas on July 11 to carry out annual maintenance of the gas line between the two countries, Russian authorities will use technical problems as an excuse so as not to reactivate the supply. – a decision that would plummet the German economy by around 200 billion euros in six months.

According to various European and German news sources, officials in the country are now battling a possible worsening of the already severe gas crisis which has seen a major energy company run into existential financial difficulties.

In response to the financial problems such a loss of gas will cause, POLITICS reports that the German government is now seeking to pass emergency legislation imposing a financial tax on all energy companies – whether involved in Russian gas imports or not – to spread the costs of rising prices in order to to keep the infrastructure afloat.

Such a move would be an alternative to simply passing on the costs of higher energy to the end user, a move that some in the industry believe would simply prevent people from paying their bills, subsequently leading to the collapse of local energy suppliers.

“This could lead to chaotic conditions in the energy market, which would definitely put the entire energy sector in difficulty and jeopardize the security of supply from scratch,” The Spiegel reports Ingbert Liebing, managing director of the Association of Municipal Enterprises.

Issues surrounding the purely economic elements of the crisis are far from the only ones to arise, with warnings that a sudden loss of gas in the country would be extremely difficult to reverse locally due to boiler safety mechanisms. servants.

According to a separate article The Spiegel report, a loss of supply would cause hundreds of thousands of boilers across the country to trip a fuse – fuses that could only be reset by trained professionals, a process that would be time-consuming due to the tension, such an event would be put on traders in the sector.

“The moment the pressure in the gas network of a region falls below a certain minimum, the fuse of hundreds of thousands of gas boilers would suddenly trip,” reported Klaus Müller, chairman of the Federal Agency networks. post as said.

“They would have to be manually reactivated by trained specialists if gas was again available in the area,” he continued. “No one can wish for such a scenario because it would take a very long time to restore the gas supply.”

Accordingly, Müller reportedly pointed out that if the gas supply was threatened, German industry would have to be cut off first to ensure that the local supply did not fall below the fuse threshold.

However, such a prioritization would likely be extremely painful for the German economy, with Economy and Climate Minister Robert Habeck warning that cutting such industry – something he himself has pledged to do in case where the Kremlin would cut Germany off from its gas supply – would have massive ripple effects for average Germans.

“Companies would have to shut down production, lay off their workers, supply chains would collapse, people would go into debt to pay their heating bills, people would get poorer,” Habeck said of the eventuality.

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