Gazprom Eyes Power British Market
Voice of Russia reports that Gazprom is mulling diversification into Europe’s electricity sector.
Gazprom, which has a subsidiary in the UK which has a license to generate electricity as well as to market natural gas, has reportedly approached Germany’s RWE for a deal to acquire the Npower thermal electricity station in central England.
"Gazprom has abundant gas, which it can convert into electricity with a great economic benefit for itself. After buying into the electricity sector in Russia, it is now eying vertical integration of its energy businesses in the European Union," said Mr Armen Badalov, Russia Director of Pace Global Energy Services:
"In the UK, environmental concerns will force the country to reduce the share of coal in its primary energy production and turn to cleaner fuels, including natural gas. This means Gazprom is making a big kill by purchasing a power station in a country that needs more and more energy from more environmentally friendly sources."
Importantly, the British government has no objection to the deal that is being pushed by Gazprom.