Security of Russian gas supplies to the EU - the question of infrastrucutral connections. OSW Point of View, February 2005

The energy security of countries importing energy resources depends largely on the shape and quality of operational transport connections. This is particularly important in the case of natural gas supplies. Natural gas is transported mostly by gas pipelines which permanently connect gas producers and consumers. Thus Europe as a consumer is "tied" to certain gas suppliers for anywhere between a dozen and several tens of years. As their own resources are becoming depleted, the EU Member States get increasingly dependent on import of natural gas. The present paper discusses the existing and projected gas transport routes from Russia to the EU. The first part deals with the importance of gas exports to the economy of the Russian Federation, and the second delves into the EU Member States' dependence on gas imports. Then this paper examines the differences in perceiving the energy security issue between the old and the new Member States, those differences stemming from the different degrees of their dependence on Russian supplies. In the third part, two new transport route projects for Russian gas supplies to the EU are compared and it is argued that from the point of view of the Community's interests, the Yamal gas pipeline is a better solution than the North European (Trans-Baltic) gas pipeline.

Turkey after the start of negotiations with the European Union - foreign relations and the domestic situation, Part II. OSW Report, July 2008

The Centre for Eastern Studies has decided to embark on the project entitled 'Turkey after the start of negotiations with the European Union - foreign relations and the domestic situation' for two major reasons: the start of the accession negotiations between Ankara and the European Union in October 2005, and the significant part which Turkey plays in western Eurasia (the Caucasus, the countries in the basins of the Black and Caspian Seas, the Middle East and the Balkans) which We wish to present our readers our second report discussing Turkey's relations with Central Asia, the Caucasus and Russia, the aspect of Turkish foreign policy regarding the Black Sea, and the role of Turkey as a transit country for oil and gas from the Middle East and the Caspian regions. The evaluation of Turkey's standpoint and potential regarding the aforementioned issues is especially important, considering the tensions existing in Turkey's relations with the EU and the USA, as well as the West's increasing engagement in the Caucasus, Central Asia and Black Sea regions. In this process, Ankara may play the role of a significant ally for the West. However, it may just as readily play the role of its rival, who could co-operate with other countries and may seriously frustrate the implementation of the EU and US' goals. The Report was developed between autumn 2006 and autumn 2007, over which time the project participants searched for publicly available documents in Poland, Turkey, EU countries and the USA, and went on five research trips to Central Asia, Russia, Turkey and Caucasus, where they met local analysts, officials and researchers.

Greater Europe. Putin's vision of European (dis)integration. OSW Study 46/2013

On several occasions since 2001 Vladimir Putin has raised the concept of ���Greater Europe���, a partly-integrated common space comprising mainly Russia and the European Union. This concept has never been recast into a detailed political programme. While it has been championed as���a Europe without dividing lines���, the concept would in practice permanently split Europe into two geopolitical blocs ��� the Western bloc of the European Union, with Germany in the dominant role, and the Eastern bloc, consisting of the emerging Eurasian Union, with Russia in a hegemonic position. In recent years Russia has undertaken a number of initiatives aimed at implementing some elements of the concept. However, most of these have failed to become reality. In this context, we should expect Russia���s policy to focus on implementing its priority project of Eurasian integration, based on the structures of the Customs Union/the Eurasian Union. The Greater Europe project, on the other hand, will be postponed until the time when, as Moscow believes, a weakened EU will be ready to accept Russian proposals.

The tug of war. Russia's response to changes on the European gas market. OSW Study 50/2014

Russia, being aware of the evolution of the EU gas market and the fluctuations in trends that accompany it, and in an attempt to maintain its position on the European gas market, is sticking to a dichotomous strategy. On the one hand, Moscow has taken an offensive approach: it continues its traditionally critical rhetoric with regard to the legal and institutional changes; by negating the legitimacy of the new rules, it has been making efforts to undermine them by employing legal and political measures; Russia has used such traditional economic means as investments in assets and pushing through the implementation of new gas pipeline construction projects. On the other hand, the evolution of the EU gas market has forced Russia to take steps to adapt to a certain extent: partial changes in the operation of the internal gas sector; promises to further curb Gazprom���s dominant position; the concessions made in trade negotiations with European partners; partial adjustments to the EU���s so called third energy package regulations. Hoping that the unfolding situation on the gas markets will contribute to slowing down the recent liberalisation tendencies in the EU and that EU member states won���t make progress in decreasing their dependence on Russian gas, Moscow is thus preparing itself for the ���long game��� in gas with its European partners.

The resource wealth burden - oil and gas sectors in the former USSR. OSW Study 12/2003

The former USSR area plays a great role in the international oil and gas market. Russia is a real gas giant, with the richest deposits of this material in the world. Russia is also the main exporter of natural gas to many European countries. Keeping a strong position in this market remains a priority for the Russian Federation's economic policy. Europe is a very attractive region because its demand for gas is expected to grow steadily, while its own gas production keeps decreasing. In the long term, the Far East will be an important market for Russian exports, too. According to estimates, demand there will grow even faster than in Europe. Caspian gas producers, for the time being, can not really compete with Russia in this field, and this status quo will most probably be preserved in the nearest future.

Rosja wobec Unii Europejskiej: kryzys ���strategicznego partnerstwa.��� Prace OSW 22/2006. = Russia vs. the European Union: a ���strategic partnership��� crisis. OSW Study 22/2006

Contrary to both parties' declarations on the development of their "strategic partnership", relations between Russia and the European Union have over recent years been in a state which could be called one of crisis. However, this does not mean that there have been no achievements in EU-Russian relations. The key problem is that Russia and the European Union have essentially different perceptions, aspirations and interests, which causes mistrust and disillusionment. This crisis is manifested in mutual criticism by the two sides, regularly recurring tensions and cooling of relations ("minicrises"), and especially by the "virtualisation of co-operation", i.e. concealing a lack of substantive content in many key areas under increasingly rich layers of dialogue and co-operation.

Russian sanctions against Moldova. Minor effects, major potential. OSW COMMENTARY No. 152, 2014-11-06

Russia has been Moldova���s main trade partner and Russian capital has accounted for a large part of its foreign investments, dominating in the energy and the banking sectors. Moreover, Russia has been a key job market for Moldovan expatriate workers. In the economic sphere, this is making Moldova unilaterally dependent on Russia. Moscow has been attempting to exploit this situation to put pressure on the authorities in Chi��in��u for quite some time. In recent months Russia has increasingly used instruments for exerting economic pressure on Moldova, as a means of responding to the current authorities��� pro-Western policy. A key element of this policy was Moldova���s signing on 27 June 2014 of the Association Agreement with the EU (which came into force on 1 September 2014). Over the last year, Russia has implemented a number of import restrictions on Moldovan goods. The aim of the Russian actions is to fuel social disappointment, and ultimately ��� to prevent the pro-European coalition currently in power from winning the parliamentary elections scheduled for 30 November 2014. Another aim might be to convince the Moldovan authorities to suspend the implementation of the Association Agreement ��� a plan openly put forward by Vladimir Putin during the CIS summit in Minsk on 10 October 2014. So far, however, the Russian economic sanctions have failed to produce the expected results. Support for the pro-European parties has been high, and there is little chance that the pro-Russian groups might achieve a parliamentary majority. It is not inconceivable, then, that in the upcoming months Moscow might decide to resort to other, more potent instruments of economic pressure such as speculation on the financial market, carried out as part of its de facto control over the banking sector. Another possibility is further tightening of trade restrictions, issuing expatriate workers from Russia or using Moldova���s dependence on Russian energy.

Turkey after the start of negotiations with the European Union - foreign relations and the domestic situation, Part I. OSW Report, June 2007

The start of accession negotiations between Ankara and the EU is vital for the future of both Turkey and the Union, including Poland as its member state, as well as for the geopolitical situation in Eurasia (the Black Sea region, Caucasus, Central Asia and the Middle East). Appreciating the significance of these issues, the Centre for Eastern Studies in early 2005 decided to launch a project entitled "Turkey after the start of negotiations with the European Union - foreign relations and the domestic situation". The goal of this project is to present, within the context of accession negotiations, Turkey's greatest internal challenges as well as Ankara's relations with its neighbour regions, the EU and the USA. This Report is the first of three which will be published as part of the project. The Report includes texts on Turkish-US relations since 2003, major political and social challenges on Turkey's path towards the EU and the current condition of the Turkish economy. The Report was developed between July 2005 and November 2006, over which time CES workers and associates searched for publicly available materials in Poland, Turkey and EU countries, and went on three research trips to Turkey, where they met local researchers, analysts, politicians and officials. The authors of the Report would like to express their gratitude to everyone who have shared their opinions with them, and to the Polish Embassy in Ankara, especially to Ambassador Grzegorz Michalski and Minister Andrzej Ananicz for their expert support and assistance in the authors' work on this Report. This Report does not present the official stance of the Polish government on the issues discussed therein; instead it reflects the personal views of its authors, who have made their best efforts to ensure that their work is reliable.

The bear watches the dragon. The Russian debate on China. OSW Point of View Number 31, February 2013

Most participants in the Russian public debate seem to agree in their evaluation of the present condition of Russian-Chinese relations. There is awareness of increasing inequality between these two powers and Russia���s weakening position as compared to China.Those who share the optimistic view see co-operation with China as an opportunity for the Russian economy and a key element of Russia���s multi-directional foreign policy, an opportunity for Russia to avoid unilateral dependence on the West. The pessimists view the deepening co-operation with China through the prism of threats resulting from the increasing imbalance in bilateral relations. The greatest source of concern is the model of economic relations, which is often referred to as neo-colonial, where Russia���s role is reduced to that of a supplier of raw materials to China. The possible consequences are evaluated in different ways, ranging from the political subordination of Russian interests the Chinese ones to real loss of control over the Russian Far East. Those who share such views believe that Moscow should slow down its rapprochement with China and search for other partners in Eastern Asia, relations with whom could counterbalance the Chinese influence.

Russia���s Middle East policy after the Arab revolutions. OSW Commentary No. 59, 2011-07-26

Russia���s policy towards the Middle East is instrumental. Its activity in the region has been growing since the middle of the last decade, and its aim is to help Moscow achieve its objectives in other areas, particularly in its policies towards the US and Europe, as well as its energy policy. The establishment of these political influences constitutes a bargaining chip for Russia in its relations with the US. Russia���s participation in resolving conflicts is aimed at building up its image as a supra-regional power. Russia���s Middle East policy is a key element in its contacts with the Muslim world. At the same time, Russia���s policy in the region remains cautious ��� despite its return to the region, Russia has not decided to ���play��� for the Middle East, and its position and role in the region remain limited. The balance of power in the Middle East has been shifting in the aftermath of the Arab revolutions. However, it does not seem that they have opened up larger opportunities for Russian policy in the region. The Russian elite has been divided in its assessment of the consequences of these events. One part of it has displayed scepticism, treating the revolutions rather as a threat than a chance to strengthen their own position. The revolutions were not seen as democratisation processes, but rather as a destabilisation of the region and as posing an increased danger from radical Islam. For the other part of the elite, the revolutions were the natural consequence of the social changes occurring in the region. This internal dispute made it difficult for Russia to present a cohesive approach to the Arab revolutions, and its stance was reactive. The defensive position which Moscow adopted showed that Russia did not have the potential to mould the political situation, either in the region as a whole or its individual countries; neither did it display any willingness to do so. What Moscow is doing is positioning itself in such a way so as not to spoil relations with any other actor in the region, and to be able to exploit any possible emerging opportunities in case of further-reaching changes.

Russian gas industry - current condition and prospects; New regional 'in-security' system in Central Asia; Caspian oil and gas: the facts at the end of the year 2000. OSW Study 1/2001

Russian gas industry: The current condition of the gas industry is one of the most crucial factors influencing the Russian state��s functioning, internal situation and international position. Not only is gas the principal energy resource in Russia, it also subsidises other sectors of the economy. Status of the main European gas exporter strengthens also Russia's importance in the international arena. New regional in-security: Ten years have passed since the Central Asian states declared their independence, but their relationship with Russia still remains close, and the latter treats them as its exclusive zone of influence. A crucial reason for keeping Central Asia within the orbit of Moscow��s influence is the fact that Russia exercises control over the most important transport routes out of the region of raw materials for the power industry, on which the economic development of Asia depends on. But this is the only manifestation of Central Asia��s economic dependence on Russia. Moscow lacks solid economic instruments (i.e. investment input or power industry dependence) to shape the situation in the region. Caspian oil and gas: Caspian stocks of energy resources are not, and most probably will not be, of any great significance on the world scale. Nevertheless it is the Caspian region which will have the opportunity to become an oil exporter which will reduce the dependence of the European countries on Arabian oil, and which will guarantee Russia the quantities of gas which are indispensable both for meeting its internal demands and for maintaining its current level of export. For Azerbaijan, Kazakhstan and Turkmenistan, the confirmation of the existence of successive oil strata is not only an opportunity to increase income, but also an additional bargaining chip in the game for the future of the whole region. The stake in this game is the opportunity to limit the economic, and by extension the political influences of Russia in the region.

Big business in the Russian economy and politics under Putin's rule; The Russian power industry shortly before reforms; Ukrainian metallurgy: the economic link in the oligarchical system. OSW Study 5/2002

Big business in Russia: The pace of ownership transfer in the Russian economy has speeded up considerably over the last year. There has been a significant rise in the number of acquisitions of whole enterprises, and large blocks of shares in individual firms and plants. Similarly the number of mergers, bankruptcies and take-overs of failing firms by their strongest competitors has grown. The Russian power industry: This study is an overview of the current condition and principles on which the Russian power sector has been functioning so far. This analysis has been carried out against the background of the changes that have been taking place in the sector since the beginning of the 1990s. This text also contains a description of guidelines and progress made so far in implementing the reform of the Russian power industry, the draft of which was adopted by the government of the Russian Federation in summer 2001. However, the purpose of this study is not an economic analysis of the draft, but an attempt to present the political conditions and possible consequences of the transformations carried out in the Russian power sector. The final part attempts to evaluate the possibilities and threats related to the implementation of the reform in its present shape. Ukrainian metallurgy: The metallurgic sector, like the east-west transit of energy raw materials, is a strategic source of revenue for Ukraine. Over the last ten years, this sector has become Kiev's most important source of foreign currency inflows, accounting for over 40 per cent of its total export revenues. The growth of metallurgic production, which has continued almost without interruption since the mid-1990s, has contributed considerably to the increase in GDP which Ukraine showed in 2000, for the first time in its independent history.

Gazprom's position on the Russian gas market weakening. OSW Commentary No. 70, 2012-02-23

As the difficulties Gazprom has faced in recent years on the European market have multiplied1, so more and more symptoms have appeared which may suggest that the company���s dominant position is deteriorating. The decision made by the Russian government in June 2011 to double the tax Gazprom has to pay on the extraction of gas, which was later approved by parliament, was the first time in many years when the company���s fiscal privileges were withdrawn. The process of Gazprom���s assets being taken over by private companies and business partners from within Vladimir Putin���s closest circle is underway. More and more frequently attempts are being made to challenge the company���s monopoly in areas of key importance for the functioning of the entire gas sector, such as Gazprom���s exclusive right to dispose of the Russian gas transportation system and its exports monopoly. Competition from independent gas producers on the domestic market is growing, and Gazprom is gradually being pushed out of some of that market���s most profitable segments (industrial clients). The emerging tendencies in the Russian gas sector derive from a number of factors ��� from the situation on the European gas market, through difficulties hampering the development of the sector in Russia itself, to the private interests of the current ruling class and its business partners. The plans for a structural reform of the monopoly (including isolating gas transportation system from Gazprom), presented since 2000 by the Ministry for Economic Development and since 2003 by the Russian Association of Industrialists and Entrepreneurs (RSPP), suggest a direction for the changes necessary to stimulate the sector���s development and improve the efficiency of Gazprom itself. However, the monopolist���s current business model gives the government full control over this strategic enterprise, which is a core of Putin���s concept for developing Russia as a global energy power. Despite Putin���s recent statement that he ���does not rule out privatising Gazprom in the future��� (made at a meeting with political scientists in Moscow on 6 February this year), any structural reform of Gazprom (and consequently, a weakening of the state���s control over it) seems unlikely in the foreseeable future. Still, the developments on the domestic market ��� growing pressure from other gas companies (oil corporations and independent producers) and changes on the European market2 ��� may result in the weakening of Gazprom���s monopoly privileges and a gradual deterioration of its special status within Russia.

Russia's best ally: The situation of the Russian oil sector and forecast for its future. OSW Study 39/2012

Oil is a strategic raw material for Russia and one of fundamental significance for the functioning of the state and its future. Taxes on oil production and exports are the most important source of state budget revenues which guarantee Russia maintains its political and economic stability. Russia is building its international position on the basis of its vast raw material and energy potential. While a great number of various publications have been devoted to Russian gas and Gazprom, surprisingly little research has been done into the present condition and possible future developments of the Russian oil sector, despite the fact that oil has and will have a much greater impact than gas on the functioning and the future of Russia. The main objective of this text is to describe the present situation of the Russian oil sector, its problems and the challenges it is posing, as well as the government���s policy towards this key branch of the Russian economy. This will be an introduction to an attempt to answer to the questions about the possible future production and the export levels of Russian oil, also broken down into the European and Asian directions.

Social Capital and Individual Happiness in Europe. Bruges European Economic Research (BEER) Papers 25/December 2012

This paper explores the relationship between social capital and happiness both in Europe as a whole, as well as in its four main geographical macro-regions ��� North, South, East and West ��� separately. We test the hypothesis of whether social capital, in its three-fold definition established by Coleman (1988) ��� trust, social interaction, and norms and sanctions ��� influences individual happiness across European countries and regions. The concept of social capital is further enriched by incorporating Putnam- (1993) and Olson- (1982) type variables on associational activity. Using ordinal logistic regression analysis on data for 48,583 individuals from 25 European countries, we reach three main findings. First, social capital matters for happiness across the three dimensions considered. Second, the main drivers of the effects of social capital on happiness appear to be informal social interaction and general social, as well as institutional trust. And third, there are significant differences in how social capital interacts with happiness across different areas of Europe, with the connection being at is weakest in the Nordic countries.