Get Real! wrote:Russia’s new Rubles-For-Gas plan…
Although I haven’t been able to ascertain the exact date of the EU’s gas payment due to Russia, there appears to be only a limited number of options available for the two parties.
I think it's important to take a look at what the most likely outcome may be as it directly and imminently affects us.
So here are my most likely predicted scenarios...
1. The EU refuses to pay in rubles and Russia considers it a payment default and so cuts the gas supply indefinitely.
2. The EU refuses to pay in rubles and Russia accepts a euro payment and life goes on until the next payment is due.
3. The EU refuses to pay in rubles and Russia accepts a final payment in Euros but then cuts the gas supply citing a new rubles-for-gas contract be established for any future gas supply.
4. The EU purchases rubles on the currency market and pays Russia as demanded, sending the value of the ruble to new heights.
Knowing Putin's shrewdness, my guess is that we will end up with outcome #3.
So pick a number and tell us what you think... or even add your own option; something I haven't thought of...
The currency to be paid in will have been stipulated in the relevant contracts. That will be $/€. So, this is all a breach of......................
It's just another nail in the coffin of Putin/Russia's reputation as a reliable supplier and will make the move away from reliance gather increasing momentum.
That won't happen overnight. National energy procurement policies are juggernauts, but it will nevertheless inexorably come about. The EU in particular has been a massive importer of Russian gas and oil (St Angela's doing, mainly).
The idea that it all doesn't matter - they will just sell it to someone else doesn't bear scrutiny. Despite all the spin the ultimate effect upon Russian GDP will be profoundly negative.
You can't read this of course but it doesn't matter because talking to you has almost always been a waste of time anyway. Somebody show me any meaningful conversation. Rather than a broadcasting of your views and sneering contempt for any other. And actually - a case of unintended consequences - they're right - it's fun being invisible to somebody like you.