NRG matters: German consumers hit with $5.4 bn additional costs per year amid Russia’s sanctions against Gazprom Germania

RIYADH: On a macro level, German consumers could face additional costs as a result of Russia’s sanctions against Gazprom Germania. On a micro level, however, Australia’s Santos Ltd and Beach Energy are to bolster the gas supply in the country. Also, Mondelēz Bahrain Biscuits is partnering with Yellow Door Energy to install solar panels in a factory. Meanwhile, UAE’s Masdar and the Ministry of Energy of Azerbaijan are collaborating on the launch of a 10,000 MW clean energy project.

Looking at the bigger picture:

·      German taxpayers and gas users could face an additional 5 billion euros ($5.4 billion) per year for replacement gas as a result of Russia’s sanctions against Gazprom Germania and its subsidiaries, Reuters reported, citing German newspaper Welt am Sonntag. This comes as Russia halted supply to the Gazprom subsidiary, after Berlin put the firm under trustee management as a response to Moscow’s invasion of Ukraine.

 Through a micro lens: 

·      Australian energy company Santos Ltd has announced that through its partnership with Australian oil and gas exploration and production firm Beach Energy, it aims to boost local gas supply, Reuters reported. This comes as the country tries to curb away from rallying prices of wholesale power as well as gas. The steps that the firms are taking are projected to add 15 terajoules of gas per day by the end of 2022.

·      Food manufacturer Mondelēz Bahrain Biscuits has signed an agreement with UAE-based solar energy company Yellow Door Energy to set up a 2.3 MW solar power plant at a factory, Trade Arabia reported. Under the agreement, the solar plant will entail more than 4,200 solar panels, in both rooftop and carport applications.

·      UAE-government owned renewable energy company Masdar has signed an agreement with the Ministry of Energy of Azerbaijan to develop several renewable energy projects in the country, Trade Arabia reported. Combined, the projects are anticipated to have an accumulated capacity of 4,000 MW in the first phase, with an additional 6,000 MW to be added in the second phase.