Economist Features Uncle Vladimir

The bully tactics of Uncle Vladimir and his posse have been a recurring theme on this blog. So I was glad to see that the Economist took the subject head on this week, along with a great cover. This is just another signal to European leaders that they better stop appeasing Russia, while looking for energy sources not coming from their increasingly obstinate eastern neighbor.

Poland Up In Arms Over Russian Pipeline

Poland, always a little touchy over deals between Russia and Germany, at least since that 1939 fiasco, is quite upset over the fact that Germany still wants to go ahead with a pipeline that will take Russian gas under the Baltic Sea. This, of course, will leave their neighbor in the middle in the cold and more vulnerable to Russian whims, similarly to Ukraine and Georgia. The previous German chancellor already got rewarded for playing along with Uncle Vladimir, but looks like Angela Merkel is also not willing to drop the agreement.
The Baltic pipeline doesn't seem to make much economic sense because it will cost more to build. So what's the deal here? Hey, aren't those pesky Social Democrats in Merkel's cabinet? Oh, yeah. And never mind that Poland is now part of the EU and certainly a much more stable partner than the Russians. Good neighbors.

Uncle Vladimir Warns Europe: Be Nice or No More Gas

I hate to say I told you so, but Uncle Vladimir is already threatening Europe with the one threat that works: gas. Read between the lines: be nice to Gazprom and Russia or else we'll send the gas you need the other way. Russia already uses its gas stranglehold on Ukraine, Georgia and Belarus. Why not start blackmailing the rest of Europe, the one that has the money and the unquenched appetite for energy?

More to come.

Russia Inc - Gazprom Wants to Be World's Biggest Corp

There is not much scarier out there than to hear that the state-controlled Russian Goliath Gazprom wants to become the world's largest company. This monstrosity is already using its muscle to threaten its neighbors (see Ukraine and Georgia), but it could also close the valve on most of Europe's gas. I've said it before and I'll say it again: Europe, watch out! Uncle Vladimir controls a good chunk of your energy. Russia Inc. at its finest.

Schroeder Gets Paid with Gas

Former German Chancellor Gerhard Schroeder seems to be coming out just fine after (barely) losing the elections earlier this year. The man who was one of the strongest critics of the U.S. and probably the biggest European friends of Russian president Vladimir Putin, gets rewarded with a post as the head of the shareholders committee of the gas pipeline that conveniently circumvents Germany's eastern neighbor Poland. So Gerhard gets the prize and Poland gets punished for standing up to its bully neighbor to the east.

Something stinks here, especially since Schroeder vigorously lobbied for this pipeline when he was the chancellor. He might regret this, however, because getting in bed with Gazprom and the rest of Russian gas interests may not be the cleanest arrangement.