Geopolitics: Energy price surge in Europe
Friday, September 09, 2022 | 290 Views |
Bargaining chip: Russia intermittently switches off the Nord Stream pipeline citing repairs PIC: UPSTREAM ONLINE
This week started with an announcement by Russia that it will cut off gas supplies to Europe indefinitely and the unfortunate, sad truth is that Africa will feel the ultimate pinch of this.
Let’s give this context: the economic sanctions imposed by European nations are deemed punitive by Russia which has now closed the taps on the Nord Stream 1 which is the main gas pipeline to Europe. Unfortunately, this is occurring at the beginning of winter and thereby puts Europe in a position of duress to either give in or fight further while finding remedies for their people. This is the biggest energy crisis that Europe has faced for decades when already this supply was volatile even before the war began.
Whilst celebrating milestones in inclusivity, with notably P5 billion awarded to vulnerable groups, the report sounds a 'siren' on a dangerous and growing trend: the ballooning use of micro-procurement. That this method, designed for small-scale, efficient purchases, now accounts for a staggering 25% (P8 billion) of total procurement value is not a sign of agility, but a 'red flag'. The PPRA’s warning is unequivocal and must be...