Shawn Donnan writes in the Financial Times: "Ask anyone in European business what the most daunting longer-term issues confronting them are and it is unlikely to take much time before they site energy costs.
Even before Vladimir Putin’s Russia turned into the EU’s most belligerent neighbor, the reality was that Europe is facing a long-term energy crisis."
"The shale oil and gas have radically lowered the cost of energy in the US and given American manufacturing a competitive boost. That has caused more than a measure of angst among European businesses as they fret over their long-term international competitiveness. One solution to many in Europe seems obvious. "
"With a vast new trade pact – the Transatlantic Trade and Investment Partnership being negotiated with the US, there is a strong case for making sure the deal helps guarantee access to that same cheap energy. "
"Moreover, as officials on both sides of the Atlantic have argued publicly, the ultimate goal of the exercise is knitting two ageing economies together as part of a strategic response to the rise of China and other emerging giants. "
"Removing the barriers to trade for a key economic ingredient surely makes sense. Mr Putin has, of course, been doing his best to help that argument in recent months via his hardening stand on Ukraine and the annexation of Crimea."
"A massive natural gas deal with China sent a signal that Russia intended to reduce its reliance on European customers. This month’s downing of the Malaysia Airlines Flight MH17 over eastern Ukraine, seemingly by pro-Moscow rebels, will also undoubtedly rekindle the argument."
"The truth, however, is that a year after negotiations began, EU officials are becoming increasingly frustrated with the US over the energy component of TTIP. With good reason – discussions around one of the biggest potential prizes of the transatlantic deal are proceeding slowly."
"At the sixth round of negotiations in Brussels this month, EU officials were again pressing their case for the TTIP to include a separate “energy and raw materials” chapter. The US side, meanwhile, was again politely deferring the question. "
The above shows once again that the present US proposals on the trade deal with the EU are self serving and that the EU must put these talks on the back burner while they solve their energy crises by seriously developing their own alternative energy sources and finding new partners to supply oil and gas requirements.
EU-Digest
Even before Vladimir Putin’s Russia turned into the EU’s most belligerent neighbor, the reality was that Europe is facing a long-term energy crisis."
"The shale oil and gas have radically lowered the cost of energy in the US and given American manufacturing a competitive boost. That has caused more than a measure of angst among European businesses as they fret over their long-term international competitiveness. One solution to many in Europe seems obvious. "
"With a vast new trade pact – the Transatlantic Trade and Investment Partnership being negotiated with the US, there is a strong case for making sure the deal helps guarantee access to that same cheap energy. "
"Moreover, as officials on both sides of the Atlantic have argued publicly, the ultimate goal of the exercise is knitting two ageing economies together as part of a strategic response to the rise of China and other emerging giants. "
"Removing the barriers to trade for a key economic ingredient surely makes sense. Mr Putin has, of course, been doing his best to help that argument in recent months via his hardening stand on Ukraine and the annexation of Crimea."
"A massive natural gas deal with China sent a signal that Russia intended to reduce its reliance on European customers. This month’s downing of the Malaysia Airlines Flight MH17 over eastern Ukraine, seemingly by pro-Moscow rebels, will also undoubtedly rekindle the argument."
"The truth, however, is that a year after negotiations began, EU officials are becoming increasingly frustrated with the US over the energy component of TTIP. With good reason – discussions around one of the biggest potential prizes of the transatlantic deal are proceeding slowly."
"At the sixth round of negotiations in Brussels this month, EU officials were again pressing their case for the TTIP to include a separate “energy and raw materials” chapter. The US side, meanwhile, was again politely deferring the question. "
The above shows once again that the present US proposals on the trade deal with the EU are self serving and that the EU must put these talks on the back burner while they solve their energy crises by seriously developing their own alternative energy sources and finding new partners to supply oil and gas requirements.
EU-Digest
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