Gazprom CEO in Athens - Gas pipeline deal between Russia and Greece possible

Greece’s energy minister Panagiotis Lafazanis is starting talks with Gazprom’s CEO Alexey Miller in Athens, the Guardian reports.

A possible gas pipeline deal that could bring cheaper energy to Greece is on the agenda.

“The biggest priority in talks today will be getting agreement on reduction of costs. Ideally, we would like to seal a deal where costs are brought down by 20%,” one well-placed source said.

“It’s not only about the pipeline and any prepayment that Moscow might make. If an agreement benefits Greece we will sign it and we may just be days away from doing that.”

While almost 60% of the country’s gas supplies come from Russia, costs are high as supplies are transferred in liquified form by sea tanker making Greek gas among the costliest in Europe.

Athens had every right to pursue a multi-dimensional foreign policy that included reaching out to Russia and China, says Vasillis Moulopoulos, who presides over the company that owns the Syriza aligned newspaper Avgi.

“Every other European country does it, so why can’t Greece?...Angela Merkel has been to Moscow three times, but as soon as [Alexis] Tsipras goes, a huge fuss is made.”

At the same time Syriza was also willing to make the compromises necessary to conclude an interim agreement with creditors at the EU and IMF to unlock the funds the country now so desperately needs.

“It is clear that Syriza cannot immediately enforce all its pre-election pledges and it is willing to go back on certain things,” he told the Guardian reporter, noting that privatisations might be among the concessions the leftists were willing to make.

“But there are certain red lines, such as reducing wages and pensions and doing away with collective work agreements, which exist all over Europe, which we cannot accept. Certain mistakes may have been made on our part as this is a government that lacks experience but on the other hand Europe is also making some absurd demands that no one could accept. This government will not take decisions that are critical for the country if they do not have the endorsement of the people.”