Gas and oil suppliers have a responsibility to ensure capacity to meet global demand in order to avoid crises like the one unfolding in Europe, US State Department Senior Advisor for Global Energy Security, Amos Hochstein, said on Thursday
WASHINGTON (Pakistan Point News / Sputnik - 28th October, 2021) Gas and oil suppliers have a responsibility to ensure capacity to meet global demand in order to avoid crises like the one unfolding in Europe, US State Department Senior Advisor for Global Energy Security, Amos Hochstein, said on Thursday.
"That is the responsibility of suppliers to be able to meet global demand when we have it," Hochstein said during the Special Gas Market Dialogue organized by the International Energy Forum. "Producers have a responsibility to ensure that oil markets and gas markets are balanced."
The United States, he noted, is "quite disappointed" that Russia's Gazprom has allegedly failed to increase investment in upstream production to deliver more gas to Europe.
The diplomat added that President Joe Biden will use the energy crisis in Europe as a backdrop to his relentless appeal for an energy transition at the UN climate summit next week.
The European Union has lately faced a significant increase in gas prices, which has led in turn to a serious increase in electricity costs. The European Commission asserted that Gazprom, the main gas supplier to the European Union, although fulfilling long-term contracts, has not responded adequately to increased demand, as it has in previous years. The commission, however, does not list the situation with Gazprom among the main reasons for the spike in European gas prices.
