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Novak lambasts EU’s ‘counting-on-a-miracle’ gas policy line that sparked energy crisis

The Moscow-hosted Russian Energy Week International Forum is being held on October 13-15

MOSCOW, October 14. / TASS /. Europe has chosen the counting-on-a-miracle principle as far as gas reserves are concerned, but they should’ve had reserves, said Russian Deputy Prime Minister Alexander Novak, speaking at the Russian Energy Week on Thursday.

"The European consumers are now reaping the fruits of an unbalanced policy on creating energy balance conditions in Europe," Novak said. "Here you need to have the necessary reserves to get through the autumn-winter period, reserves should be made keeping in mind the lowest temperatures and the lengthiest periods," Novak stressed.

"You can’t just hope to fly by the seat of your pants. If you approach it by counting on a miracle, as it has been over the recent years, it turns out that the closing price in the absence of supply, creates a high price," he elaborated.

Novak laid out the actual reason for the current price volatility and crisis on Europe’s energy market. "The main problem comes from poor planning of the supply and demand balance, and energy resources, which cause fluctuations, volatility and shortages," Novak explained. According to him, no one in the EU plans gas demand or supply. "There is only hope for the invisible hand of the market, which will ensure gas supplies," he noted.

The Moscow-hosted Russian Energy Week International Forum is being held on October 13-15. The event serves as a platform for discussing the main challenges that the energy sector faces. The forum is being held to demonstrate the prospects that the Russian fuel and energy industry offer and to unlock the potential of international cooperation in the energy sphere. This year, the forum contains more than 30 business events, with more than 200 top company executives from various sectors of the fuel and energy field, as well as from the oil and gas, and coal and electric power industries, expected to participate.