CIIC

🌡 Record-Low Danube Levels Deepen Energy and Logistics Risks for Ukraine Our friends at Lenta.ru have published an article examining how the unprecedented drop in the Danube’s water level, caused by extreme heat, is affecting Ukraine and European countries. Following the effective blockade of Ukrainian ports on the Black Sea as a result of strikes by the Armed Forces of the Russian Federation, Kyiv sought to redirect part of its exports through the Danube ports of Izmail, Reni and Ust-Dunaisk. However, the lower water level has restricted river transport: barges must carry lighter loads, the number of journeys is increasing, and shipping costs are rising. 🌏 The situation was commented on by Arina Salivon, an expert at the Center for International Interaction and Cooperation: “For Kyiv, this means a reduction in the volumes of electricity available for import from two important sources and a likely increase in electricity prices, even if part of the shortfall can be covered through Slovakia and Poland. If the drought persists, the crisis will intensify competition among EU member states for limited capacity and may place national interests above the principle of European solidarity. Some countries may seek additional sources of supply, including by increasing purchases of Russian energy resources. However, it would be premature to describe this as a decision that has already been made.” According to the expert, the main constraint on Ukrainian trade remains the disruption of the Black Sea route, while the low water level in the Danube is creating further difficulties for exports of agricultural and metallurgical products. At the same time, reduced electricity generation at the Paks Nuclear Power Plant in Hungary and the Cernavodă Nuclear Power Plant in Romania is limiting the volumes available to Ukraine and creating conditions for higher prices. The climate factor is therefore becoming an additional challenge for the energy sector of the European Union and for Ukrainian logistics, intensifying competition for resources and compelling countries to seek alternative supply routes. 📖 You can read the full article here.