Germany looking at nationalising Russian energy giants to protect supply

It is looking to nationalise Gazprom and Rosneft to cut Russian influence in the German market

Germany is reportedly considering the nationalisation of both Gazprom and Rosneft to cut Russian influence on the country and stabilise energy security.

Gazprom Germania and Rosneft Deutschland together account for one-quarter of Germany’s refinery business but their nationalisation would see German authorities take control of them.

Germany has been keen to sanction Russia in response to Vladimir Putin’s invasion of Ukraine, however, its reliance on Russian energy is far stronger than the UK – meaning it has had to be vigilant in its approach.

In 2021, Russian gas made up 55% of Germany’s gas imports but it has pledged to end its use of the gas by 2024.

Disruptions were made to its energy supply last week when Putin explained Russia would only accept payment for its energy in roubles.

It is now preparing for the worst, with a possible rationing of gas on the cards. However, there is hope that nationalising the companies could go some way to protecting supply, whilst still providing a kick in the teeth to the Russian President.

Lithuania became the first European country to entirely cut off Russian gas earlier today, with the President pushing countries such as Germany to do more, stating “if we can do it, the rest of Europe can do it too.”

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