How American energy helped Europe best Putin
U.S. companies provided 50 percent of Europe’s liquefied natural gas supplies in 2022, along with 12 percent of its oil. Russian oil and gas shipments to the continent have shriveled by half, beset by boycotts, sanctions and an EU price cap. Global oil and gas trade routes have been redrawn and renewable energy development has received a massive financial and political shot in the arm.
The turnabout has put a new spotlight on the United States’ role as the world’s biggest energy producer, whose foothold in Asia has also strengthened in the past year. At the same time, the EU and the Biden administration are working more closely together to develop the next generation of clean energy — one that doesn’t include Russia — a transition that will lean heavily on U.S. fossil fuel in the coming few years.
“Europe’s energy divorce from Russia is nearly complete,” said Andrew Lipow, president of oil industry and market consulting firm Lipow Oil Associates. “We’re seeing a permanent change as far as how Europe gets its energy in the future. One result is the United States and European energy policy are going to be more closely intertwined.”