Autor: Michał Paszkowski

War in Ukraine: Kiev’s efforts to ensure the availability of petroleum products

The ongoing war that began in 2022 has brought about significant changes in Ukraine’s energy market. In late 2023, the government in Kiev introduced measures to bolster the country’s energy security by establishing a system of crude oil and petroleum products reserves. While work on the relevant legislation had been underway for years, it was the war and Ukraine’s attainment...

Lukoil plans to sell its refinery in Bulgaria

For years, companies from the Russian Federation have been acquiring attractive energy assets around the world, including in Central European countries. The introduction of EU sanctions following Russia’s full-scale aggression against Ukraine has restricted the operations of some of these companies. This is the situation with the Burgas refinery in Bulgaria, owned by the...

Natural gas demand decline in the Baltic countries in 2023

The Baltic countries have recorded another consecutive year of declining natural gas demand in 2023. Initially, such a situation was related to the COVID-19 pandemic and high commodity prices on exchanges in Europe (the result of price manipulation by Russia in 2021 and then the Russian-Ukrainian war in 2022). It is now expected that the projected economic growth in 2024 and the...

Crude oil terminals in Central European countries in the era of the shift away from Russian commodities

There are six crude oil terminals in the Central European countries of the European Union, supplying a total of sixteen refineries, several of which are located outside the EU. Due to the ongoing Russian-Ukrainian war, these terminals have been unloading tankers from countries that have not previously supplied crude oil to these refineries, or if they have, sporadically, in 2023....

LNG terminals in Central Europe: importance and operation

There are several LNG regasification terminals in Central European countries, aimed at securing natural gas supplies from various directions. In the context of the outbreak of the Russian-Ukrainian war, the importance of these terminals has definitely increased. At present, they are a key tool in efforts to diversify the sources and directions of natural gas supplies, especially...

Natural gas and crude oil markets in Central European countries in 2023

Central European countries in 2023 were taking active steps to strengthen energy security, which was a difficult process. A key strategic objective was to reduce dependence on hydrocarbons supplies from the Russian Federation by initiating new investments and continuing those already underway. Importantly, there are still countries on the continent that cooperate with Russia in...

Northern Macedonia expands natural gas supply infrastructure

Impact of Russian-Ukrainian war on crude oil supplies to Bulgaria and Romania

The Russian-Ukrainian war has reoriented the refining sector in the Central European region, including Bulgaria and Romania. The crude oil processing plants operating in these countries had for years imported a large amount of crude oil from the Russian Federation. The change in international conditions has contributed to the activation of efforts to diversify crude oil supply...

Uncertain future of Skulte LNG terminal project

There have been efforts in Latvia to build an LNG terminal in Skulte since 2016, but recent decisions by the government in Riga make the realisation of the investment uncertain. Even the damage in early October 2023 to the Balticconnector pipeline, which connects the gas system of Estonia and Finland, has not changed the Latvian government’s approach to the Skulte LNG terminal....

Reorganization of the gas sector in Czechia

In Czechia, under the influence of the Russian Federation’s full-scale attack on Ukraine, there has been a change in the operation of energy companies, which are supposed not only to meet business objectives but also to strengthen the state’s energy security. In this context, in the past few months, we have seen the implementation of two acquisitions by companies wholly owned...

Bulgaria: technical government settlements on natural gas deal

In Bulgaria, the new government of Prime Minister Nikolai Denkov has ordered an investigation into the 2023 Bulgarian-Turkish agreement, which provides access for Bulgargaz to LNG terminals in Turkey and the Turkish transmission network. According to the government’s position, the agreement between Bulgargaz and BOTAŞ, which was concluded for a period of 13 years, is...

Azerbaijan’s growing role in ensuring the energy security of Central European countries

The Russian Federation’s armed attack on Ukraine has changed the perception of energy-exporting countries. In the past, Russia played a key role in providing crude oil and natural gas supplies to Central European countries, however, the war has forced countries in the region to seek alternative suppliers. Under these conditions, Azerbaijan has been growing in importance for many...

Underground natural gas storage facilities in Ukraine

Ukraine’s underground natural gas storage facilities, together with its extensive pipeline network, have played an important role in ensuring the availability of natural gas in Europe over the years. However, the importance of Ukrainian infrastructure was reduced as a result of the systematic reduction of natural gas supplies from east to west following the Russian...

Diesel supplies to the Western Balkan countries in the new international environment

For years, Russia has played an important role in supplying liquid fuels by sea to all of Europe, especially diesel fuel, a key product in the transportation industry. The Russian Federation’s armed attack on Ukraine in 2022 led to changes in commodity markets, affecting the volume of liquid fuel imports to the Western Balkan countries. Due to the new market conditions,...

Serbia activates natural gas supply efforts

Serbia has, for years, been dependent on natural gas supplies from the Russian Federation, and the resulting political influence has had consequences for its energy policy and the presence of Russian capital in key energy companies. In recent months, however, there has been a noticeable modification of the Belgrade government’s position on the importance of Russia in ensuring...

Sweden’s electricity sector challenges

For years, Sweden’s low electricity prices have been a direct consequence of the operation of the country’s nuclear and hydroelectric power plants. A stable level of energy demand has made Sweden an energy exporter, but the situation may change over the next several years. Such a situation will require appropriate investment measures. Over the years, negative public attitudes...

Croatia plans to build a regional gas hub

Croatia is taking active steps to increase its participation in ensuring the energy security of Central European countries. A key tool will be the expansion of the LNG terminal on Krk Island, which is expected to eventually supply natural gas to many countries in the region from alternative sources to Russia. Expansion of the terminal and natural gas pipelines is extremely...

Bulgaria considers returning to construction of Burgas-Alexandroupoli pipeline

Bulgaria is considering a return to the construction of the Burgas-Alexandroupoli pipeline, which would allow greater diversification of crude oil supplies to the Burgas refinery. The project was initiated as early as 1993, at which time it was intended to increase exports of Russian crude oil to international markets. The ongoing Russian-Ukrainian war and sanctions imposed on the...

Serbia-Hungary pipeline: a new chapter in energy cooperation

Serbia has been taking active steps for several months to diversify the sources and directions of crude oil supplies to the country’s only operating refinery in Panchevo. Due to sanctions imposed on Russia, the plant is currently unable to import crude oil from that country. However, the government in Belgrade is in favor of building a pipeline linking Serbia and...

Kazakhstan: questionable source of crude oil supply for Central European refineries

The entry into force on December 5, 2022 of European Union sanctions against Russia, which prevent the import of crude oil from that country by sea, has forced refiners in Europe, including those in Central Europe, to seek alternative grades, including from Kazakhstan. On one hand refineries in Germany are counting on crude oil supplies from that country, but the direction of...

EU sanctions against Russia and potential problems with Serbia crude oil supplies

The sixth package of sanctions against Russia introduced by the European Union in connection with the attack on Ukraine will have consequences for Serbian Pančevo refinery, owned by Russian companies. Deliveries to the plant are taking place via the Adria pipeline and the Omišalj oil terminal in Croatia, and the new sanctions prevent the unloading of Russian crude oil in EU...

Slovakia: the game about crude oil supplies from Russia

In Slovakia, a debate has been going on for a long time about the possible imposition on crude oil supply embargo from Russia by the European Union countries. The Slovak government hopes to obtain an appropriate derogation period from these provisions. Technological and infrastructural reasons are indicated as the problem. The project of introducing a special tax on crude oil...

The Baltic States: stop Russian natural gas imports

Despite their natural gas supplies dependence, the Baltic states decided to suspend their imports from Russia. Such a decision is connected with the necessity to look for alternative supply sources and to fully use the existing infrastructure, which will also be expanded. Regional cooperation, including with Poland, will be key for Lithuania, Latvia, and Estonia. Due to Russia’s...