WITH PUTIN’S PRESIDENCY,

RUSSIA ENERGY POLICY

By Naomi Angombili Shabani (160204218)
Overview

• Introduction
• Research Question
• Hypothesis
• 1.0 Russian Government Energy Policy
• 2.0 Russia Energy Policy and it Influence on European Union
• 3.0 Reason for Russia Energy Policy
• 4.0 Economic Gains of Russia Energy Policy
• 5.0 Negative Impact of Putin’s Presidency on Russia Energy Policy
• Conclusion
• Bibliography
Introduction

Vladimir Putin, in his tenure as the president of Russia, strategized domestic policy which focuses on
the Russian internal policies also putting into consideration the impact the Putin legislative system
adopted in the Russian state and the effect Putinism has on the country at large.

The president was said to have forewarned its citizens of having no intention of mimicking the
political systems adopted by the American or British, but the establishment of a system which he
believed will be closer to the traditions and circumstances of Russia itself.

A commendable impact of the Putin administration in the Russian system was the progress the
economy made in his first administration, the country economy increased with an estimated average
of 7% real gains per annum with the following estimate (2000: 10%, 2001: 5.1%, 2002: 4.7%, 2003:
7.3%, 2004: 7.2%, 2005: 6.4%, 2006: 8.2%, 2007: 8.5%).
Research Question

This research tends to provide answers to the following questions;

1. How has Putin's presidential system impacted Russia’s energy policy?

2. What positive effect does the Russian energy policy possess on the nation and the world at large?

3. What negative effects did Putin's tenure have on the Russian energy policy?
Research Hypothesis

• Hypothesis 1- There will be a significant impact of Putin's

presidency on Russia energy policy

• Hypothesis 2 - Russia energy policy will affect the world

significantly
1.0 Understanding Russia Energy Policy

• During this period other Western countries in collaboration with the United States were looking for
means of reducing the over-dependence of Europe on Russia and its resources on the whole.

• These were all orchestrated by Putin, the great president of the Russian government, in his same
tenure he made several attempts to gain over the European energy sector, with an aim of creating a
Eurasian Economic Union which will comprise just the Russian country and other post-Soviet
countries,
1.0 Understanding Russia Energy Policy-Contd

• The Russia government took a step in strengthening the energy policy by creating a Major Provisions of the energy strategy in
1994 and the government declaration that elucidated the first post-Soviet directions of energy policy.

• The energy industry and fuel restructuring of the Russian Federation from the period it was approved in 1995 stated to last up
to the year 2010, several laws and bills were approved by the government which backed up the presidential decrees and
strategic efforts of waxing the energy strategy stronger and enriching it greatly for the prosperity of the Russia nation.

• Russia was better accomplished and fulfilled after the Soviet Union breaking up, has the country under the presidency of Putin
made effort in reshaping the energy strategy of the Russia originally established in 1994, thereby enacting the restructuring of it
in 2000 also directing forces into the establishment of the energy policy that is till date nourishing the growth and development
of the Russia government system, (Ministry of Energy of the Russian Federation (2003)).
2.0 Russia Energy Policy and it Influence on
European Union

• Russia as an economy is a very rich and robust one as a result of its dependency on natural resources ranging from
crude oil to natural gas, Russia optimized this advantage in every facet of the society including its political power,
as the country is the one that supposed most European countries with gas thereby intimidating these countries and
other countries surrounding them

• There was a period that Russia government threatened the European that they will cut off the supply of their gas
due to the conflict between the country and Ukraine in the mid-2000s which greatly affected several countries in
Europe, this dispute leads Russia to threatened Europe that they will be disconnected from their supply of gas
Europe using Ukraine has a medium was possible because of the large quantities of Russian's gas that goes through
the Ukrainian pipeline to the countries in Europe they are exported to.
3.0 Reason for Russia Energy Policy

• The aim of the policy were to reach a better quality of gas and fuel and energy mix directed towards the
competitiveness of Russian energy production and importation services in the world market. Also, to that
end, the long-term energy policy was aimed at concentrating on energy safety, energy effectiveness,
budget effectiveness, and ecological energy security of the Russian economy.

• The main objective of the Russian energy policy was the development of energy efficiency that will lead
the country into obtaining a decrease in energy intensity during production and supply of expenditures,
also to decrease the energy harm effect on the environment thereby developing a sustainable
technological and energy advancement with improved effectiveness and competitiveness in the world.
4.0 Economic Gains of Russia Energy Policy

• In 2009, President Putin in his prediction stated that Russia will liberalize the domestic gas market in the future
and maintain the monopoly of Gazprom in the exportation of oil and gas on medium grounds

• The reliance of Western countries on Russian natural gas lead to increased advantage of the relevance of
Russia overall economy through its energy policy sectors, from the period of 1973 which marked as a turning
point for the Soviet Union, an embargo was placed on oil and this opportunity lead most of USSSR to export
their oils and natural gas in exchange for Western technology and money, as energy was the major backbone of
the Soviet Union economy, therefore the embargo placed on oil, help them in maximizing their opportunity to
full potentials has most Western countries become dependent on them for oil and natural gas importation,
5.0 Negative Impact of Putin’s Presidency on
Russia Energy Policy

• Russia suffered in the aspect of renewable energy because of the unconducive policy of the Russian government and
lack of clear signals and strategic framework, the country's renewable energy was also hampered because of the
country’s overdependence on electricity, natural gas subsidiaries, and an overabundance of the energy system, thereby
neglecting the aspect of developing renewable energy.

• The energy policy would have maintained its glory and Russia reputation would have been undaunted if their over-
ambitious goal and adventurism spirit to proclaim leadership over Europe and the United States, this ambition has
landed Putin's government a negative outcome, of which an irreversible split with their centuries-old socio-cultural
neighbor Ukraine.
Negative Impact of Putin’s Presidency on
Russia Energy Policy- Contd

The energy policy would have maintained its glory, the dispute that occurred between Russia and Ukraine seems to be
difficult to resolve and the countries decide to stay clear cut of each other's affairs. Russia’s economy on the other
hand has also been experiencing an increase in sets of sanctions which in turn has led to a decrease in the popularity
of President Putin right from the time before Russia's annexation of crime in 2014.
Conclusion

Putin's presidency energy policy was geared towards developing an enabling society, where the
Russian system dominates energy development of natural resources such as gas and fuel in large
production, minimizing cost at its lowest and decreasing adverse effects of these energies in the
environment, facilitating the economic development and competitiveness in the world.

Putin since being elected into office mandated himself with activities for changes in the Russian
system, ranging from sweeping out corrupt people in government, eradicating direct voting of
governors into offices to the reshaping and strengthening of the Russian energy policy.
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