MOSCOW: In a dispute over contracts, Russia's Gazprom announced on Tuesday that it would completely halt all gas delivery to major European utility Angie starting Thursday. The development will raise concerns about Europe's winter energy supply.

There is some concern that Moscow, which has reduced pipeline supplies to only 20% of capacity, may add to the pressure by delaying the restart. Europe has already been informed that Gazprom will close the Nord Stream 1 gas pipeline to Germany from 31 August to 2 September for maintenance.

According to a statement from Gazprom, Angie did not pay in full for gas deliveries made in July.

In this regard, Gazprom Export informed Engi about the complete suspension of gas deliveries starting from September 1, 2022, until it receives full payment for the gas supplied.

Angie, which owns 9% of Nord Stream, chose not to respond to a request for comment. It previously said that without any further information Gazprom's supply would be further disrupted.

Gazprom's deliveries to Angie have dropped significantly since Russia invaded Ukraine, and Finance Minister Bruno Le Maire warned that "a drastic cut" could jeopardize France's 2.5% GDP growth forecast this year. . Is.

France's Energy Transition Minister Agnes Pannier-Rancher told France Inter radio that "it is very clear that Russia is using gas as a weapon of war and we must prepare for the worst case scenario of a complete blockage of supplies." " ,

An associate of Pannier-Rancher claimed that Gazprom is not complying with its contracts and that France has diversified its energy sources so its winter gas supply will not be affected by the recent cuts.

According to Angie's spokesperson, Russia now makes up less than 4% of Angie's gas imports, down from 17% before the Ukrainian conflict. According to the utility, Russian supplies had recently dropped to just 1.5 terawatt-hours (TWh).

Angie chose not to specify the levels in which the volume would now be low.

Compared to some of its European rivals, France is less dependent on Russian gas. Norway provided more than a third of France's gas before the Ukraine war, according to government figures, with smaller amounts also coming from the Netherlands, Algeria and Qatar.

According to government spokesman Olivier Veran, by the end of the summer, France will have replenished its gas reserves. "We are ahead of time," he told radio station FranceInfo. According to the government, at present the reserve is about 90 percent full.

Angie claims it has taken steps to protect itself and maintain its obligations to customers.

Gas prices have skyrocketed as a result of Russia's supply disruptions and shortages, forcing European governments to look for alternative sources of supply in time for the coming winter. The problem is made worse by the shutdown of the nuclear industry in France, whose production is at a 30-year low. About 70% of its energy is generated through nuclear.

French companies will be the first to be affected if France is forced to ration gas and electricity supplies, Prime Minister Elizabeth Born warned on Monday as she urged businesses to develop energy saving plans by the end of the month.

Sonatrack and Engie on Monday discussed a medium-term increase in gas imports from Algeria, as confirmed by Engie.

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