The German Ministry of Economy is now considering these drastic steps in the light of the importance of the German subsidiaries of both companies to the German energy market. Chancellor Olaf Solz is also involved in talks on the possible nationalization of the German units of Rosneft and Gazprom, Handelsblatt reported, citing several government sources. Germany fears a shortage of energy supplies if the two companies run into difficulties or become technically insolvent, as banks avoid financing companies linked to Russia. Berlin-based Gazprom Germania has large gas storage facilities, while Rosneft Deutschland is a major player in the German markets for the supply and distribution of petrol, diesel and kerosene. Earlier this week, Germany was preparing for a possible cut-off of gas supplies from Russia and launched an emergency plan on Wednesday, ahead of Thursday’s deadline set by Russian President Vladimir Putin for gas payments in rubles. Germany has launched an emergency plan in case of supply disruption from Russia. The plan could provide for a reduction in gas supply. Putin has set a March 31 deadline for the government, Gazprom and Russia’s central bank to make arrangements for payments in rubles from so-called “hostile” countries. German utilities last week called on the federal government to set up an early warning system for a possible gas shortage, saying there were “serious signs that the gas supply situation was deteriorating”. Europe and Germany continued to receive Russian gas through pipelines on Friday, even as Putin threatened European countries that Moscow would cut off gas supplies unless buyers complied with Russian demand for rubles only by the end of the year. deadline Thursday, March 31st. By Charles Kennedy for Oilprice.com More top readings from Oilprice.com:
