New Era For Gazprom, As Gas Giant’s Fortunes Plummet

10/6/2009

Bruce Pannier writes on Gazprom for RFERL — the analysis contains bits of my interview for the Radio:

It’s been a tough year for Gazprom, Russia’s state-controlled gas giant.

Just a year ago, Russia’s state-owned gas giant Gazprom was the third-most valuable company in the world, worth some $350 billion. Now, it has shrunk by two-thirds to about $120 billion, declining to the world’s 40th-largest company, according to “The Moscow Times” on May 27.

And the company appears set to fall another notch or two, thanks to a ruling by Russian antimonopoly authorities on June 2 that Gazprom must share its export pipelines with independent gas producers.

Turkmen, Uzbek Eyes Stray Toward Brussels

4/6/2009

An interview for RFERL on the evolution of European-Central Asian diplomatic and commercial ties.

Just a few years ago, it would have been difficult to imagine an official from Turkmenistan visiting Brussels to discuss exporting natural gas directly to the EU.

But when Turkmen Foreign Minister Rashid Meredov meets with European Union officials in Brussels, discussing his country’s participation in projects to bring natural gas to Europe will be high on his agenda.

Turkmenistan and Uzbekistan have traditionally been the most resistant of the Central Asian states to Western influence, but both are increasingly showing an interest in breaking that mold.

France and Europe: From Enthusiasm to Disillusionment

2/6/2009

“The number of people who consider French membership of the EU a good thing has fallen from a peak of 74 per cent in 1987 to 47 per cent last year”, Ben Hall reports in today’s Financial Times. “The reluctance of the parties to debate during the campaign reflects how French enthusiasm for Europe has soured into cynicism and indifference in the past decade”.
Such a process, however, is unfolding since some years. In 2005, after French voters rejected the proposed E.U. Constitution, this author wrote that political Europe was experiencing a paradox, in which “sovereignism” was gaining influence - particularly in France:

The historical context in which pro-sovereignty movements are gaining strength is a fairly paradoxical one. For instance, it is incorrect to say that “Europe does not exist” due to the result of the recent referenda, an argument that many in this movement are making. On the contrary, the European main states such as France, Germany, Italy, the Netherlands, and Belgium — the “core” of the integration process — obtained, at least formally, the strategic goals they had set in the early nineties. The E.U. now has a common currency, functioning political institutions like the European Council, the European Commission, and the European Parliament, in addition to security and defense assets such as the Political Committee for Security, the European Headquarters, a secretary general for foreign policy, and even a Rapid Reaction Force.

At the same time, this complex political, economic and military framework does not work in the way some Europeanists dreamt it would, and the E.U. simply has not become what French visionary personalities such as former French President François Mitterrand wanted. In particular, today’s European Union is neither the source of a distinctly European vision of world politics, nor the political tool necessary to project French power in the age of globalization. If the international system is shifting from unipolarity to a proto-multipolar structure, it is because of China’s rise as a great power, and not because of the European Union. The E.U.’s dramatic division in front of the Iraqi crisis of 2002-2003 was the crucial proof of its weakness as a real global player.

The European paradox is exactly this: the E.U.’s official goals have been reached, but the outcome is quite different from what its main supporters expected 15 years ago.

Moreover, French citizens perceived that an enlarged Europe was not a multiplier of power and prosperity, but a huge market that exacerbated competition, wiping out the welfare state, i.e., the core of the so-called “European social model”.

Since then, the E.U. and the most pro-European parties in France have been unable to reverse the process. Enthusiasm for European integration has remained weak. However, no real alternative to the current path of integrationist policies has been effectively proposed. If the supranational model is in a crisis, so is the “Europe of nation states” advocated by the sovereignists. As a consequence, European elections are perceived as a not-so-crucial event by French (and European) citizens.

La Russia e L’Estero Vicino: da Eltsin a Putin

1/6/2009

E’ uscito il mio saggio su La Russia e l’Estero Vicino: da Eltsin a Putin, per la rivista “Ricerche Storiche”, edita da Polistampa.
Uno stralcio dal paragrafo introduttivo:

L’idea dell’esistenza di un “estero vicino russo” nasce in concomitanza con la fine dell’Unione Sovietica. È direttamente connessa al problema di quali rapporti politico-diplomatici, strategico-militari ed economici instaurare fra la Federazione Russa e gli altri stati ex sovietici.
L’espressione ближнее зарубежье (Blizhneye Zarubezh’e) è composta dall’aggettivo blizhneye (vicino) e dal sostantivo zarubezh’e che significa letteralmente “oltre confine”. In altri termini, designa “i paesi oltre confine ma prossimi”, in contrapposizione all’estero “lontano”. In un articolo del 15 gennaio del 1992 sul quotidiano Izvestiya si menzionava non a caso un “estero a portata di mano” .
L’allora ministro degli esteri russo, Andrei Kozyrev, nell’agosto del 1992 si espresse in modo critico verso ogni tentazione di Mosca di “minacciare” i paesi ex sovietici nel “cosiddetto estero vicino” , in particolare in Ucraina, al fine di mantenerli strettamente legati alla Federazione Russa.
Da parte sua, un osservatore statunitense della nascita del concetto di “Estero Vicino”, Paul Goble del Carnegie Endowment, affermò nel gennaio del 1992 che l’espressione rivestiva “un significato politico ben più che geografico o demografico” e indicava soprattutto “la difficoltà” dei politici russi a considerare i paesi ex sovietici come nazioni “realmente indipendenti”. Ancor più importante, secondo Goble e altri analisti americani, era il fatto che le repubbliche ex sovietiche appena nate fossero l’oggetto della “pretesa russa” di alcuni speciali diritti in campo politico ed economico. In altri termini, il concetto di Estero Vicino designava la volontà di Mosca di delimitare una vera e propria “sfera d’influenza” russa post-sovietica.
Al contempo, cominciava però ad affacciarsi anche un secondo significato di Estero Vicino, più geografico e demografico, ma anch’esso strettamente legato a quello politico: l’espressione avrebbe indicato le repubbliche ex sovietiche dove vivevano ancora circa 25 milioni di russi , che Mosca avrebbe dovuto “difendere” dalla pressione dei nuovi nazionalismi.
Emergevano quindi, già nel 1992, tutti gli elementi che avrebbero reso il concetto di Estero Vicino un perno della nuova politica estera russa: quelli politici, connessi sia alla questione dello status di grande potenza russa, sia al problema della sicurezza strategica del nuovo stato; quelli economici, con la definizione di nuovi rapporti commerciali ed energetici; e quelli legati all’identità russa e al rapporto fra Mosca e le comunità russe oltre confine.

Rediscovering Spykman

26/5/2009

Article written for ExploringGeopolitics.

Rimland

Spykman’s in-depth analysis of geography’s political-strategic significance constitutes an excellent introduction to the methodology of geopolitics.
. . . Probably, the most interesting part of Spykman’s theoretical geopolitics is the one devoted to the significance of location for a state’s power potential. “The location of a state may be described from the point of view of world-location, that is, with reference to the land masses and oceans of the world as a whole, or from the point of view of regional location, that is, with reference to the territory of other states and immediate surroundings. The former description will be in terms of latitude, longitude, altitude, and distance from the sea; the latter will be in terms of relations to surroundings areas, distances, lines of communication, and the nature of border territory . . . “A complete description of the geographic location of a state will include […] an analysis of the meaning” of the facts of location, since while the latter “do not change, the significance of such facts changes with every shift in the means of communication, in routes of communication, in the technique of war, and in the centers of world power, and the full meaning of a given location can be obtained only by considering the specific area in relation to two systems of reference: a geographic system of reference from which we derive the facts of location, and a historical system of reference by which we evaluate those facts”.

EU-Russia Summit: Multiple Pipelines, but no Happiness

21/5/2009

Analysis by Bruce Pannier for RFERLwith bits of an interview of mine.

Pakistan: a Geopolitical Crux (Four Years Later)…

11/5/2009

I wrote in 2005 that Pakistan’s geopolitical importance was on the rise. I considered mainly Pakistan’s position (a strategic link between the Middle East’s Arabian Sea region, South Asia, and Central Asia) and its value for China and the US from a security point of view, especially in terms of maritime power and strategic route. Especially the US cannot afford to see Pakistan disintegrate, because such a development would likely trigger a shift in the region geopolitical orientation (from a pro-Western to an unknown but probably anti-Western alignment).
I also considered the Pakistan-India problem to be a key issue: Pakistan’s destabilization may add to Indo-Pakistani tensions and could potentially trigger a new conflict, which, because of the two states’s nuclear capabilities, is among the most dangerous ones in today’s international relations.

AfPak problem

Now, four years later, it is clear that the possibility of a progressive disintegration of Pakistan is to be taken seriously.
In the early 2000s, US geopolitical analyst and geographer Saul B. Cohen launched the hypothesis of a “Pashtunistan” taking shape as a result of US destruction of the Taliban regime and serious instability in Pakistan’s remote regions. This would have triggered a major geopolitical change in Central-South Asia, with Afghanistan and Pakistan de facto disintegrating.
The hypothesis might have seemed too bold, but some of the world’s most important newspapers now utilize the concept.

The situation is confused and it’s not at all clear if it is possible to speak about a “talibanization” of the country. What is sure is that Balochistan, Waziristan, and the Federally Administered Tribal Areas are caught in a struggle, in which both ethno-religious and territorial aspects are concerned.

Pepe Escobar wrote on May 9 for Asia Times that

Balochistan is totally under the radar of Western corporate media. But not the Pentagon’s. An immense desert comprising almost 48% of Pakistan’s area, rich in uranium and copper, potentially very rich in oil, and producing more than one-third of Pakistan’s natural gas, it accounts for less than 4% of Pakistan’s 173 million citizens. Balochs are the majority, followed by Pashtuns. Quetta, the provincial capital, is considered Taliban Central by the Pentagon […].

For the US, the Afghan operation has become the “AfPak” issue. Max Hastings, in today’s Financial Times, explains the problem clearly:

It is frustrating for the US government to be making strategy for a battlefield while knowing that the strategic outcome will be decided on another one. The current redeployments in Afghanistan are taking place in the knowledge that Pakistan matters much more. The most important change in the thinking of Washington and its allies over the past year derives from recognition they are fighting the wrong war, or at least running a sideshow.

The purpose of the 2001 US invasion was to deny sanctuary to terrorists based in Afghanistan. Yet al-Qaeda today plays only a marginal role in that country, while being deeply rooted in Pakistan. Western forces find themselves engaged in an ill-defined campaign to stabilise Afghan tribal society, while being unable to use troops across the border, where most Pakistanis are bitterly hostile to the US. […]

The most obvious feature of the Afghan war in the months ahead is that it will become, in the phrase of indiscreet US soldiers, “re-Americanised”. The Americans perceive Nato as lacking both means and will to grip the situation. The most important priority for Washington is to determine exactly what its soldiers hope to accomplish, rather than making it up as they go along.

The result is that Pakistan is even more a geopolitical crux today than it was four years ago. It has incresingly attracted US military energies from the Afghan theatre. It has also forced India to re-focus its attention on the Pakistani militants issue after the Mumbay attacks. And it will take a long time before the situation becomes clearer. Expect the AfPak problem to dominate the US foreign policy agenda for the rest of this year and to impact the debate on NATO’s future.

EU Energy Goals Appear Stuck In The Pipeline

23/4/2009

Interview for RFERL.

nabucco?

The European Union repeatedly emphasized unity in the wake of vows at a major meeting late last year to pursue a new energy policy.

Pledges of solidarity to develop a unified energy grid and an end to dependence on Russian gas were renewed again in January, when member states found themselves frantically meeting again when a Russia-Ukraine dispute disrupted natural-gas supplies to a freezing Central and Southeastern Europe.

There has been broad agreement on the need for a diversification of suppliers and new import routes. But divisions quickly emerge when the topic turns to specific projects, and critics suggest national and private interests threaten to eclipse the exigencies of the EU as a whole.

The fate of the Nabucco gas-pipeline project is arguably a case in point.

Dual Energy Conferences Focus On Pressing European Import Issues

Interview for RFERL.

Two energy conferences are taking place this week — one in Bulgaria, the other in Turkmenistan — that could result in major decisions being made on pressing issues surrounding European imports.

State officials and business representatives in both Sofia and Ashgabat will be discussing how to reliably transit energy resources — mainly natural gas — from locations in Asia to markets in Europe.

There are subtle differences in the agendas of the two conferences, but both will be focused on divining which pipelines will transport gas to Europe, and from which countries the gas will come.

The meetings come as Europe is attempts to break free from its heavy dependency on Russian-controlled energy supplies and troublesome transit routes that pass through Belarus and Ukraine.

Geopolitical Briefing on Russia

29/3/2009

Third part of the interview on current geopolitics with Exploring Geopolitics. This section focus on Russia and the Former Warsaw Pact area.

Global Geopolitics

Geopolitical Briefing on the European Union

26/3/2009

Second part of the interview with Exploring Geopolitics.

European geopolitics

France is about to re-enter NATO’s integrated command. This is a sea-change in French defence policy, and will have important consequences for Europe. Paris has been the champion of Europe’s strategic autonomy from the US and NATO, but now it has abandoned its Gaullist orientation. France’s opposition to US foreign policy in the 2000s (see the Iraqi war) has not brought about the formation of a European strategic core in the sense that Paris hoped; instead, it has caused deep divisions within Europe, and therefore a malfunctioning of Europe’s political engine.

Moreover, Europeans don’t spend much on defence. Only the UK (that is, a staunch US ally) spends about 2% of its GDP for defence; the average defence spending in the EU is 1.7%, which does not allow Europe to live up to its previous ambitions and expectations.

Therefore, the emerging trend is that Europe wants NATO to be reinforced, and ESDP to be developed in coordination with NATO and the US. European elites want a new era of Trans-Atlantic cooperation in strategic matters, although different perceptions will continue to cause misunderstanding or malaise at times. One of the most difficult issues to solve is that the US wants Europe to spend more on defence and to get more involved in Afghanistan. Europeans have much trouble in satisfying such requests.

But one thing seems clear to me: the EU is not becoming a world power in the true sense; it is becoming an increasingly important diplomatic player, but it will continue to need the US and NATO to project power.

Geopolitical Briefing on Europe

23/3/2009

First part of an interview of mine, published by ExploringGeopolitics.org, a website run by Leohnardt van Efferink.

Exploring Geopolitics

[…] while many observers maintain that the current international economical and financial crisis will impact global geopolitics, what evidence do we have that such deep economic crises usually affect geopolitical realities? If we look at history (the only guide we have, albeit sometimes difficult to use), we should reflect upon the geopolitical consequences of the 1929 crisis. Not because that crisis is identical to today’s one – it’s not – but because we have to grasp the causal link between international economic crises and geopolitics. Surprisingly, we find that geopolitical reality is not so much affected by such crises. For instance, the United States was a rising power in 1929. Although very heavily affected by the crisis, it continued its rise and became even stronger in the 1940s, mainly for strategic-military reasons and their impact on the US economy.

Policy Brief: Tashkent ambisce al ruolo di perno dell’Asia Centrale

19/3/2009

Policy brief sull’Uzbekistan (in PDF), scritta per l’ISPI.

uzbekistan's map

Abstract in English:

Uzbekistan’s ambitious foreign policy is aimed at winning back its Central Asian pivot state role. Historical, geographic, and military factors appear to pave the way for its successful attempt at gaining the status of indispensable ally of Central Asia.

However, serious economic and demographic problems cripple Tashkent’s ability to bid for regional hegemony, while geopolitical disputes on water management and energy supplies complicate its relations with neighbouring states Tajikistan and Kyrgyzstan.

The US and Europe aim at improving Uzbek-Western relations, but must confront Islam Karimov’s brutal regime, which slows down the rapprochement.

Verso il G8: le priorità delle potenze europee in tema energetico

10/3/2009

Nucleare, ambiente e sicurezza degli approvvigionamenti: i temi caldi avanzati dai grandi dell’Europa.
Analisi per il portale AGI-Energia.

The Significance of US-Russia “Tough Talks”

Several media report these days the overtures made by U.S. Secretary of State, Hillary Clinton, to Moscow, on issues such as the proposed anti-ballistic missiles defense system in Central Europe, cooperation on Iran’s missile and nuclear threats, and on Afghanistan’s logistical problem.

U.S.-Russian talks will concentrate first on the possible renewal of the START treaty. But the Russians will push for a “grand bargain” between Moscow and Washington, since, as I’ve stated several times in the last years, they feel that the systemic context of international relations has changed significantly since the end of the Cold War. Russia wants to avoid two things in the first place: (a) U.S. deep political-military penetration into Russia’s “Near Abroad” via-NATO, and (b) being considered just a junior partner in East-West strategic relations. In other words, Russo-American political-strategic relations are conditioned by security and prestige considerations alike — not a novelty at all in history.

In order to achieve its goals, Russia must stop NATO’s enlargement and maintain maximum influence on politics in Ukraine and Georgia. Moscow must also signal to Lithuania, Poland, and the Czech Republic that the Americans will negotiate with Russia before taking into consideration the three countries’ anti-Russian orientation. Russian foreign policy in Transcaucasia, Eastern and Central Europe has used the threat of force, force (the Georgian war), and energy security as leverage in order to achieve such goals, at a time when the U.S. was “stuck” in Iraq and Afghanistan.

Moreover, Russia’s flirts with the rogue states and militias in the Middle East, as well as its diplomacy towards Hugo Chavez in the last years were aimed at putting irritants into U.S. grand strategy that could be then used as leverage to take the Americans to a negotiating table.

Now, while it’s very difficult to predict how Russo-American talks will end up, it is already possible to identify some obvious diplomatic and geopolitical implications of Hillary Clinton’s overtures to Moscow. From a diplomatic point of view, Washington is colder toward Warsaw, Vilnius, and Prague than it was only a few months ago. This will in turn weaken the “New Europe’s” political weight inside the E.U., and it may open a window of opportunity for France and Germany to re-launch a more “Carolingian” view of European Security and Defense Policy, i.e., a stronger role for Europe under the leadership of Paris and Berlin. However, this would take time and diplomatic ability.

From a “global geopolitical” point of view, better U.S.-Russian relations spell problems for China. The fundamental power triangle of the current geopolitical phase is the U.S.-Russia-China one. Now, if Russia and the U.S. succeed in a strategic rapprochement, China’s leverage against the U.S. in the south-eastern and north-eastern Rimland gets diminished. Moreover, if Russo-American cooperation helps stabilizing Afghanistan and crippling Iranian defense ambitions, U.S. politico-military energies may be freed to be used effectively elsewhere than in the “Greater Middle East”. And for China, that’s again bad news. Let’s not forget that China’s rise as a global power would be only assured if Beijing can maintain a firm grip on its peripheries (Tibet, Xin-Jiang) and, most of all, if it can achieve regional hegemony in its maritime area. An American power freed by the Iraqi and Afghan “traps” and nearer to Moscow would certainly be much more able to throw its weight behind China’s strategic rivals: Taiwan’s nationalists, South Korea, Japan, and Australia, but also more Tibetan and possibly Uighur separatists.

In the end, the above mentioned developments remain hypothetical, because we can’t be sure about the success of Russo-American talks and rapprochement. However, U.S. changing diplomatic relations with Russia are certain to trigger far-reaching consequences.