Russian gas flows to Europe despite fighting
Regulators, companies, operators say no disruptions so far
Austrian regulator says gas can be replaced but at higher cost
Ministry says dependence on Russian gas carries high risk
Adds new statement from E-Control in paragraph 6, energy ministry source in paras 8-9, bullet points
By Alexandra Schwarz-Goerlich, Jan Lopatka and Nina Chestney
VIENNA/PRAGUE, Aug 13 (Reuters) -Intense fighting between Ukrainian and Russian forces near a pipeline Russia uses to supply European countries with gas has not disrupted supplies, network operators and gas companies said on Tuesday.
The European Union drastically reduced its reliance on Russian gas after the Ukraine war began in 2022, leaving Austriathe EU country most reliant on Russian supplies.
"We are not aware of any pressure fluctuations, all nominations are going according to plan and there are no indications of any irregularities," Gas Connect Austria spokesperson Armin Teichert said.
Russia's Gazprom also said on Tuesday it was still pumping gas to Ukraine through Sudzha, just over the border from Ukraine.
It was unclear which side was in control of the Russian town of Sudzha, through which Russia pumps gas from Western Siberia through Ukraine and on to Slovakia and other European Union countries.
"From today's perspective, no supply problems are expected in Austria, as storage levels are high and Russian gas could be substituted via Germany or Italy. However, if supply were to be interrupted immediately, Austria would be burdened economically, in particular by the German gas storage levy," a statement from Austrian energy regulator E-Control said.
A levy on German gas storage has been increasing since 2022 which makes Austrian gas imports via Germany around three times more expensive than those via Slovakia, analysts at Kpler Insight said.
An Austrian energy ministry source told Reuters that it has been taking action to reduce dependency on Russian gas in the long run over the past two years.
"As long as there is a dependency on Russian gas supplies, there is a massive risk of a corresponding supply failure with far-reaching consequences," the source added.
Most recipients of gas via Ukraine have said they have been preparing for the stoppage of flows at the end of this year anyway when a transit deal between Ukraine and Russia expires as Ukraine has said it does not want to renew it.
Eight entry points connect Ukraine with Slovakia, Poland, Romania and Hungary, through which Russian flows can reach the EU. Currently, two are used - at Polish and Slovakian interconnection points - and then the volumes can be transmitted to other countries in central and eastern Europe, according to Kpler Insight analysts.
They estimate that Slovakia's implied use of Ukrainian flows were nearly 80% in 2023.
"This dependency could increase if inflows from Hungary decrease and a cold winter occurs as no Russian gas would be available for refilling storage levels," they said.
Slovak gas company SPP said it has been preparing for the risk of a halt in Russian gas supply for several years and has commercial contracts in place with non-Russian suppliers.
Hungary gets around 1 billion cubic metres of Russian gas a year via a pipeline from Austria and a spokesperson at the Hungarian pipeline operator said gas was still flowing.
EXPLAINER-What happens if Russian gas transit via Ukraine stops? nL8N3JV0SH
FACTBOX-How Russia exports gas to Europe via Ukraine? nL8N3JV0UK
Reporting by Alexandra Schwarz-Goerlich, Jan Lopatka and Anita Komuves; writing by Nina Chestney, Editing by Barbara Lewis and David Evans, Kirsten Donovan
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