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German MP Says Russia's Nord Stream 2 "Only Sensible Solution" To Energy Crisis | ZeroHedge
The Russian energy giant Gazprom is set to reduce its natural gas supply to Germany further at the end of the month, sending power prices to record highs this week. To address the historic energy crisis, one German member of parliament has dreamed up a novel solution: Russia's Nord Stream 2 NatGas pipeline could help solve the crisis.
"Even if the gas storage facilities are full, there will be enough for about three months this winter. And then what? Ideology has to give way to a real fact-oriented policy… The only sensible solution is to launch Nord Stream 2," Bundestag MP Steffen Kotre told Russian state-owned news agency TASS, who is a member of the German parliamentary committee on energy and climate protection.
Kotre's comments come as the cost of powering Germany has jumped to a new record high on Thursday. German power prices for next year soared 13% to a mind-numbing 725 euros ($726) a megawatt-hour, piling even more financial pressure on households and businesses.
To put that in context with global energy costs, German power prices are trading at an equivalent to a $1,200 barrel of oil - far worse than the prior cold season, highlighting the debilitating economic impact on the country.
Tighter NatGas from Russia is driving the exponential rise in power prices as capacity on Nord Stream 1 has been reduced to 20% and soon could be slashed to zero on Aug. 31. Some fear next week's temporary cut on the pipeline may not resume.
The German government affirmed earlier this month there are no plans to launch the Nord Stream 2 pipeline. It was completed last year but never awarded certification to operate.
Some German politicians are waking up to the absurdity of the whole 'stick it to Putin' by ditching cheap Russian energy supplies is a bad idea because it will mean a very dark winter of people freezing, energy hyperinflation, and recession risks where cold and hungry citizens could result in social instabilities.
This may suggest growing discontent in German government that sacrificing the economy and households for NATO's proxy fight against Russia in Ukraine might not be in their best interest. The question remains if Germany folds into winter.