Senator Cardin's Floor Statement on Deteriorating Situation in Ukraine

Senator Cardin's Floor Statement on Deteriorating Situation in Ukraine

Hon.
Benjamin L. Cardin
United States
Senate
113th Congress Congress
Second Session Session
Friday, May 02, 2014

Madam President, I take this time on the floor as the Chair of the U.S. Helsinki Commission. The Helsinki Commission is the operating arm of the U.S. participation in the Organization for Security and Cooperation in Europe, the OSCE. It has been in the press recently because of the circumstances in Ukraine, which is what I am going to talk about.

First, I will remind my colleagues that the United States, along with all the countries of Europe and Canada, formed the commission on security and cooperation in Europe in 1975. It was founded on the principle that in order to have a stable country, you need to deal not just with the direct security needs—the military needs—of a country and not just with its economic and environmental agenda, but you also need to deal with its human rights and its good governance, and all three of these are related. 

Commitments were made by all the signatories to the OSCE about respecting the jurisdictions of the member states and dealing with the rights of your neighbors and dealing with the rights of your own citizens. The Soviet Union was a member of the OSCE, and now all of the countries of the former Soviet Union are members, including Russia and the countries of central Asia. 

I am increasingly alarmed at the deterioration of the situation in Eastern Ukraine, particularly in the Donetsk region, where Moscow-controlled pro-Russian separatists have seized 19 buildings and 14 cities and towns. 

Late last week seven members of the German-led OSCE Vienna Document inspection team, charged with observing unusual military activities, along with five of their Ukrainian escorts, were kidnapped by pro-Russian militants. One observer has been freed, and the rest continue to be held hostage. Russia, an OSCE member, has not lifted a finger to secure their release. There is no doubt in my mind that if Mr. Putin gave the word, this hostage situation would cease to exist. 

This hostage-taking of unarmed international monitors must continue to be condemned in the strongest possible terms, and everything possible must be done to secure their release. In addition to the OSCE observers, 40 people—journalists, activists, police officers, and politicians—are reportedly being held captive in makeshift jails in Slovyansk. 

Meanwhile, the violence in Eastern Ukraine continues. On Monday, several thousand peaceful protesters marching in favor of Ukraine’s unity were attacked by pro-Russian thugs wielding clubs and whips, resulting in 15 seriously injured. That same day, Gennady Kernes, the mayor of Ukraine’s second largest city, Kharkiv, was shot, underwent emergency surgery, and remains in serious condition. He is now in Israel for further medical treatment. 

Furthermore, I am deeply dismayed at other flagrant violations of human rights by pro-Russian militants in Eastern Ukraine and in Russia’s annexed Crimea. These include attacks and threats against minority groups, particularly Jews and Roma as well as Crimean Tatars and ethnic Ukrainians in Crimea. Supporters of a united Ukraine have been targeted as well, including a local politician and university student whose tortured bodies were found dumped in a river near Slovyansk. 

The joint statement on Ukraine signed in Geneva on April 17 by the EU, the United States, Russia, and Ukraine calls on all sides to lay down their arms, vacate buildings, and begin the process of dialogue and de-escalation. That was signed just 2 weeks ago. That agreement provided a basis for de-escalation. Yet, over the course of the last days and weeks, we have not seen the Russians follow through on urging separatists to stand down in Eastern Ukraine. What have we seen? Kyiv, on the one hand, is taking concrete steps and making good-faith efforts to live up to the Geneva agreement, including vacating buildings and offering dialogue. Russia has done nothing. Instead of working to de-escalate the conflict, it is doing the opposite—fueling escalation. Russia continues to violate the sovereignty and territorial integrity of Ukraine and flagrantly flaunts its commitments under the Geneva agreement. 

The Geneva agreement also calls upon the parties to refrain from any violence, intimidation, or provocative actions and condemns and rejects all expressions of extremism, racism, religious intolerance, including anti-Semitism. Clearly, both the spirit and the letter of this agreement have been breached by Russia. 

In recent days we have seen troubling manifestations against ethnic and religious minority communities. The distribution of flyers in Donetsk calling for Jews to register their religion and property is a chilling reminder of an especially dark period in European history. While the perpetrators of this onerous action have not been determined, one thing is clear: Moscow, which controls the pro-Russian separatists in Eastern Ukraine, is using anti-Semitism as an ingredient in its anti-Ukrainian campaign. Perhaps even worse, among the Russian special forces and agitators operating in Ukraine are members of the neo-Nazi and other anti-Semitic groups. 

Jewish communities in parts of Eastern Ukraine are not the only ones that have reason to be worried. In Slovyansk, armed separatists have invaded Romani homes and beaten and robbed men, women, and children. Ukrainian speakers—including Ukrainian-speaking journalists—have reportedly experienced intimidation in the largely Russian-speaking Donetsk area. 

At the same time in Crimea, which Russia forcibly annexed, Crimean Tatars continue to be threatened with deportation and attacked for speaking their own language in their ancestral homeland. Moreover, the longtime leader of the Crimean Tatar community and former Soviet political prisoner Mustafa Dzhemilev has been banned from returning to Crimea. 

It is important to underscore that Crimea is the ancestral home of the Crimean Tatars, who in 1944 were forcibly and brutally evicted by Stalin to central Asia and only allowed to return to their home in the early 1990s.

Additionally, the separatist Crimean authorities have gone after the Ukrainian community, announcing that Ukrainian literature and history will no longer be offered in Crimean schools. 

These attacks and threats underscore the importance of the OSCE Special Monitoring Mission and other OSCE institutions in Ukraine in assessing the situation on the ground and helping to de-escalate tensions. They need to be permitted to operate unhindered—and most certainly not held hostage—in Eastern Ukraine and to be allowed access into Crimea, which Russia continues to block.

The actions against pro-Ukrainian activists and minorities are the direct result of Russia’s unfounded and illegal aggression against Ukraine—first in Crimea and then in Eastern Ukraine. There is no doubt as to who pulls the strings. The Kremlin has been relentlessly flaunting their Geneva promises and has done nothing to rein in the militants they control. Mr. Putin needs to get Russian soldiers and other as-sorted military and intelligence operatives out of Ukraine. 

We must not forget Crimea. We must never recognize Russia’s forcible, illegal annexation of the Ukrainian territory, which violates every single one of the 10 core OSCE Helsinki principles. We must build on the punitive measures already undertaken against the Russian and Ukrainian individuals who so blatantly violated the international agreements in the Ukrainian and Cri-mean Constitutions. Violations of another nation’s territorial integrity and sovereignty must not be tolerated. Russia’s flagrant land grab of Crimea has set a horrible precedent for those countries harboring illegal territorial ambitions around the globe.

I welcome the President’s stepping up of economic sanctions on seven Russian officials, including members of President Putin’s inner circle and 17 companies linked to Mr. Putin. I also welcome the State Department and Commerce Department tightening pol-icy to deny export license applications for any high-technology items that could contribute to Russia’s military capabilities. I am confident Russia will feel the impact of these sanctions. These, along with the further targeted sanctions announced by the EU earlier this week, will only continue to have a growing impact. 

Nevertheless, if the situation in eastern Ukraine continues to deteriorate, or even should the status quo persist, the United States needs to ratchet up these sanctions, and soon, including several sectoral sanctions against Russia’s industries such as banking, mining, energy, and defense. 

Of equal importance, we need to remain steadfast in helping Ukraine become a stronger democratic state and foster its political and economic stability. The millions of men, women, and children who demonstrated for months for human rights and human dignity spoke loudly and clearly, expressing the wishes of the vast majority of the Ukrainian citizens. The interim government has been working hard under exceedingly difficult circumstances to move Ukraine further on the path of economic and political reforms. We and our international partners need to keep making this progress our focal point. Ukraine needs a lot of help after the devastation wreaked on their economy by the in-credibly corrupt and dysfunctional Yanukovych regime. 

Ukraine has so many pressing needs. Among the most important are stabilizing the economy and preparing for the most important May 25 Presidential elections. Others include judicial reform, reform of the police and military, seeking justice and rehabilitation for the victims of the violence, including those suffering now at the hands of the pro-Russian militants, helping internally displaced people who are fleeing Crimea, and working to recover the billions in assets stolen by the previous regime. 

I am pleased Ukraine’s civil society, including Western-educated young people, is firmly committed to the rule of law and democracy and is playing a critical role in helping the Ukrainian Government work toward these ends. NGOs and think tanks have worked with the Parliament to pass a law on the independence of public broadcasting, a bill on public procurement, and one on how judges are appointed— all critical in fighting the scourge of corruption. 

The United States is providing concrete assistance through a U.S. crisis support package for Ukraine, which includes support for the integrity of the May elections and constitutional reform, substantial economic assistance, energy security technical expertise, help to recover proceeds of corruptions stolen by the former regime, and other anticorruption assistance, and fostering greater people-to-people contacts. We need to be willing to provide more resources to the Ukrainians as they actively work to fulfill their aspirations. 

Ultimately, these choices will lead to a more secure, democratic, and peaceful world, and that is something that reflects both American interests and American values.

Relevant countries: 
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    WASHINGTON—The Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, today announced the following briefing: UKRAINE’S FIGHT AGAINST CORRUPTION Wednesday, November 29, 2017 1:00PM Dirksen Senate Office Building Room 562 Live Webcast: www.facebook.com/HelsinkiCommission Today, Ukraine has an historic opportunity to overcome its long struggle with pervasive corruption. Never before in its past has the country experienced such meaningful reforms, with the most significant being the establishment of a robust and independent anticorruption architecture. However, much remains to be done. An anticorruption court is urgently needed, as is an end to the escalating harassment of civil society. This briefing of the U.S. Helsinki Commission will introduce the Commission’s recently published report, “The Internal Enemy: A Helsinki Commission Staff Report on Corruption in Ukraine.” Briefers will discuss the conclusions of this report as well as the fight against corruption in Ukraine more broadly. Copies of the report will be available for distribution. The following panelists will offer brief remarks, followed by questions: Oksana Shulyar, Deputy Chief of Mission, Embassy of Ukraine in the United States Orest Deychakiwsky, Former U.S. Helsinki Commission Policy Advisor for Ukraine Anders Aslund, Senior Fellow, Atlantic Council Brian Dooley, Senior Advisor, Human Rights First

  • Senior OSCE Monitor to Discuss Conflict in Eastern Ukraine at Upcoming Helsinki Commission Briefing

    WASHINGTON—The Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, today announced the following briefing: UKRAINE: REPORT FROM THE FRONT LINES Thursday, November 30, 2017 2:00PM Senate Visitors Center (SVC) Room 215 Live Webcast: www.facebook.com/HelsinkiCommission For more than three years, civilians in eastern Ukraine have suffered the effects of a needless conflict manufactured and managed by Russia; an estimated 10,000 people have been killed and more than 23,500 injured. The humanitarian situation continues to deteriorate amidst almost daily ceasefire violations and threats to critical infrastructure. Joseph Stone, an American paramedic, was killed on April 23, 2017 while monitoring the conflict as an unarmed, civilian member of the Organization for Security and Cooperation in Europe (OSCE) Special Monitoring Mission (SMM) to Ukraine.   SMM reports remain the only source of verifiable, public information on this ongoing conflict and the grave, daily impact it has on the local civilian population.  Mission personnel face regular and sometimes violent harassment by combined Russian-separatist forces seeking to limit the SMM’s access to the areas they control.  At this U.S. Helsinki Commission briefing, Alexander Hug, Principal Deputy Chief Monitor of the OSCE Special Monitoring Mission to Ukraine, will detail the humanitarian consequences of the ongoing conflict in Eastern Ukraine; provide an overview of the role of OSCE monitors and the threats they face in carrying out their duties; and offer thoughts on prospects going forward.  Alexander Hug has served in several roles at the OSCE, including as a Section Head and a Senior Adviser to the OSCE High Commissioner on National Minorities as well as at the OSCE Mission in Kosovo. His career in conflict resolution includes work with the Swiss Headquarters Support Unit for the OSCE in northern Bosnia and Herzegovina, the Temporary International Presence in Hebron, and the EU Rule of Law Mission in Kosovo.     

  • The Internal Enemy

    Ukraine’s struggle with corruption has prevented it from becoming a full, prosperous democracy and hinders its ability to respond effectively to Russian violations of its sovereignty. This Helsinki Commission staff report examines why corruption has been so persistent in Ukraine. It provides a historical analysis of corruption in Ukraine from its break with the Soviet system to today, reviewing the current state of reforms and providing recommendations in context. The resilience and influence of Ukraine’s oligarchs are at the heart of the country’s persistent corruption. Oligarchs have captured the Ukrainian state, crowding out non-corrupt political parties and competing with one another to steal Ukraine’s wealth. They are not so much businesspeople as courtiers, who transform political and personal connections into monopolies supported by the state. Two phenomena in particular have given rise to this system of oligarchic competition: (1) the lack of reforms in the early years of independent Ukraine, which resulted in incomplete economic liberalization, and (2) gas arbitrage, which has been uniquely devastating to reform attempts due to building so many oligarchic fortunes and providing a backdoor for Russia to influence Ukrainian politics for decades. Today’s Ukraine has implemented many important reforms that have helped to counter corruption, specifically in energy, finance, and economics. However, judicial reforms continue to lag behind. Commentators have observed that progress has slowed and frustration among civil society and the international community has increased. This report recommends that Ukraine move forward with remaining reforms, supported by both civil society and the international community. Most important is that Ukraine not allow backsliding to occur.  Ultimately, the oligarchs must be transformed from courtiers into entrepreneurs and businesspeople so as to finally end the pervasive institutionalized corruption. An empowered Ukrainian civil society—including independent media—will be paramount to such reforms, and has proven time and again that it is world class in its engagement. Key here is to condemn any attempt to hinder or harm civil society. The report makes numerous recommendations by sector, with an emphasis on the importance of reforming the judiciary. In particular, Ukraine should establish an anticorruption court as soon as possible, so as to provide the final necessary piece of Ukraine’s anticorruption architecture. Additional reform areas discussed include the safeguarding and further empowering of the anticorruption architecture; implementing privatization and additional regulatory and corporate governance reform as the next step for energy sector reform; pursuing consolidation and transparency as ideas for banking sector reform; and limiting parliamentary immunity. This report also discusses greater e-government and press freedom as mechanisms to empower Ukrainian civil society, including independent media, to monitor the reform process and prevent backsliding. Finally, it encourages the international community to continue its support for Ukraine and dig in for the long haul. Download the full report.  

  • Systematic Attacks on Journalists in Russia and Other Post-Soviet States

    Representative Steve Chabot, Co-Chair of the House Freedom of the Press Caucus, opened the briefing with a statement highlighting the importance of a free and independent press in Russia and Eastern Europe, saying that it was more important now than ever to counter an increasingly bold Vladimir Putin and the spread of Kremlin-backed media. The Congressman affirmed support for the Broadcasting Board of Governors and how their work helps foster a greater independent press in the region. Jordan Warlick, U.S. Helsinki Commission staffer responsible for freedom of the media, introduced the panelists: Thomas Kent, President of Radio Free Europe/Radio Liberty (RFE/RL); Amanda Bennett, Director of Voice of America (VOA); Nina Ognianova, Coordinator for Europe and Central Asia at the Committee to Protect Journalists; and Karina Orlova, Washington correspondent for Echo of Moscow. Thomas Kent summarized the work and reach of RFE/RL in Russia and the former Soviet Union. He outlined the pressures that RFE/RL journalists face in the region covering the issues that matter to local people. Kent described the plight of several RFE/RL journalists who have been either attacked or detained due to their work, including Mykola Semena in Russian-occupied Crimea and Mykhailo Tkach in Ukraine. He added that reporting on corruption is often the most likely cause for attacks on journalists and that social media has expanded the reach of journalists work in the region. Amanda Bennett discussed the work of Voice of America in the region and its efforts to expand freedom of speech in the region. She outlined the vast audience of VOA broadcasting and emphasized that the Russian government has directly attacked VOA reporters. Bennett stated that VOA’s mission in Russia and the former Soviet Union, as with other regions around the world, was not only to provide high quality content to the audience and journalists alike, but also help foster an independent media, free from harassment. Representative Adam Schiff, Co-Chair of the House Freedom of the Press Caucus, gave remarks about the importance of an independent media in the former Soviet Union. He noted that journalists are often the first to suffer a backlash from authorities, as they investigate and report on issues that regimes do not want to draw attention to. Representative Schiff told the panel that he, along with then-Congressman Mike Pence, reestablished the House Freedom of the Press Caucus not long before the murder of Russian journalist Anna Politkovskaya in 2006. He thanked the panelists for the work to not only highlight attacks and harassment against journalists in the region, but also their efforts to protect and assist them and to further press freedom. Nina Ognianova highlighted numerous cases that the Committee to Protect Journalists had worked on in recent months with specific discussion of the situations in Russia, Ukraine, Azerbaijan, and Kyrgyzstan. Ognianova detailed the case of the harassment and temporary flight of Russian reporter Elena Milashina following her work on the torture and murder of gay men in Chechnya. Also listed were the cases of Belarus-born journalist Pavel Sheremet, who was killed in a car bombing in Kyiv in July 2016, the abduction and detention of Azerbaijani journalist Afgan Mukhtarli for his investigation of President Ilham Aliyev’s assets in Georgia, and the concerning claims of slander against journalists by the Kyrgyz President Almazbek Atambayev. Providing the audience with a firsthand perspective, Karina Orlova described her decision to flee Russia due to her work as a journalist. Karina spoke of how her Radio Echo of Moscow talk show garnered unfavorable attention from Chechens, following discussion of the Charlie Hebdo attacks on 7 January, 2015, and the magazine’s depiction of the prophet Muhammad. Ramzan Kadyrov directly threatened her station and her editor, Alexey Venediktov, right after the show. She detailed threatening phone calls from self-described Chechens her that labeled her as an enemy of the state. Karina raised other incidents of violence and intimidation against journalists, such as the attack on Oleg Kashin, which was directly ordered by the Governor of Pskov, and a lack of action to bring the perpetrators to justice. She also spoke of censorship by the Russian authorities, particularly towards any journalists that refer to the annexation of Crimea. Karina emphasized that sanctions against the Russian state and elite are working, despite claims to the contrary. Although some journalists are unfortunately forced to self-censor due to safety concerns, Karina refuses to do so herself.

  • Helsinki Commission, House Freedom of the Press Caucus to Hold Briefing on Attacks on Journalists in Russia, Post-Soviet States

    WASHINGTON—The Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, and the House Freedom of the Press Caucus today announced the following joint briefing: “SYSTEMATIC ATTACKS ON JOURNALISTS IN RUSSIA AND OTHER POST-SOVIET STATES” Wednesday, October 4, 2017 3:00 PM Senate Visitors Center SVC-208 Live Webcast: www.facebook.com/HelsinkiCommission A free press is an essential pillar of democracy, keeping governments accountable and citizens informed. Autocratic regimes seek to intimidate and silence the press by systematically targeting journalists. A muzzled independent media is powerless to prevent the domination of the state-driven news narrative and public misinformation. Today, journalists in Russia and post-Soviet states risk intimidation, harassment, arrest, and even murder for their work. Those who criticize the government or investigate sensitive issues like corruption do so at their own peril. More often than not, cases remain unresolved and victims and families do not see justice. This briefing will address key questions regarding journalists in Russia and other post-Soviet states: their important role and impact; concerns over their rights, safety, and protection; and future support and promotion of media freedom in the Organization for Security and Cooperation in Europe (OSCE) region. Opening remarks will be provided by the Co-Chairs of the House Freedom of the Press Caucus: Rep. Adam Schiff (D-CA) Rep. Steve Chabot (R-OH) The following panelists are scheduled to speak: Thomas Kent, President and CEO, Radio Free Europe/Radio Liberty Amanda Bennett, Director, Voice of America Nina Ognianova, Europe and Central Asia Program Coordinator, Committee to Protect Journalists Karina Orlova, Washington DC Correspondent, Echo of Moscow

  • The 2017 Human Dimension Implementation Meeting: An Overview

    Each year,1 the OSCE Office for Democratic Institutions and Human Rights (ODIHR) organizes the Human Dimension Implementation Meeting (HDIM) in Warsaw, Poland. As Europe’s largest annual human rights conference, the HDIM brings together hundreds of government and nongovernmental representatives, international experts, and human rights activists for two weeks to review OSCE human rights commitments and progress.  The 2017 HDIM will be held from September 11 to September 22. Human Dimension Implementation Meeting 2017 The HDIM allows participating States to assess one another’s implementation of OSCE human dimension commitments, identify challenges, and make recommendations for improvement. The HDIM agenda covers all human dimension commitments, including freedoms of expression and the media, peaceful assembly and association, and religion or belief; democratic elections; the rule of law; tolerance and non-discrimination; combating trafficking in persons; women’s rights; and national minorities, including Roma.  Each year, three special topics are selected for a full-day review.  2017 special topics will be 1) ensuring “equal enjoyment of rates and participation in political and public life,” 2) “tolerance and nondiscrimination,” and 3) “economic, social and cultural rights as an answer to rising inequalities.”  This year’s meeting will take place at the Warsaw National Stadium (PGE Narodowy), the site of the NATO summit earlier this year. The meeting will be webcast live. Background on the Human Dimension Implementation Meeting When the Helsinki Final Act was signed in Finland in 1975, it enshrined among its ten Principles Guiding Relations between Participating States (the Decalogue) a commitment to "respect human rights and fundamental freedoms, including the freedom of thought, conscience, religion or belief, for all without distinction as to race, sex, language or religion" (Principle VII). In addition, the Final Act included a section on cooperation regarding humanitarian concerns, including transnational human contacts, information, culture and education. The phrase “human dimension” was coined to describe the OSCE norms and activities related to fundamental freedoms, democracy (such as free elections, the rule of law, and independence of the judiciary), humanitarian concerns (such as trafficking in human beings and refugees), and concerns relating to tolerance and nondiscrimination (e.g., countering anti-Semitism and racism). One of the innovations of the Helsinki Final Act was agreement to review the implementation of agreed commitments while considering the negotiation of new ones. Between 1975 and 1992, implementation review took place in the context of periodic “Follow-up Meetings” as well as smaller specialized meetings focused on specific subjects. The OSCE participating States established permanent institutions in the early 1990s. In 1992, they agreed to hold periodic Human Dimension Implementation Meetings” to foster compliance with agreed-upon principles on democracy and human rights. Additional changes to the modalities for the HDIM were agreed in 1998, 2001, and 2002, which included shortening the meeting from three weeks to two weeks, and adding three “Supplementary Human Dimension Meetings” annually on subjects selected by the Chairmanship-in-Office on particularly timely or time-sensitive issues. One of the most notable features of the HDIM is the strong participation of non-governmental organizations. The United States has been a strong advocate for the involvement of NGOs in the HDIM, recognizing the vital role that civil society plays in human rights and democracy-building initiatives. OSCE modalities allow NGO representatives to raise issues of concern directly with government representatives, both by speaking during the formal working sessions of the HDIM and by organizing side events that examine specific issues in greater detail. 1 In exceptional years when the OSCE participating States hold a summit of heads of state or government, the annual review of human dimension commitments is included as part of the Review Conference which precedes the summit, and also includes a review of the political-military and economic/environmental dimensions.

  • Beyond Pipelines: Breaking Russia’s Grip on Post-Soviet Energy Security

    By Paul Massaro, Policy Advisor, and Andras Olah, Intern In 2007, the Helsinki Commission held a hearing titled “Pipeline Politics: Achieving Energy Security in the OSCE Region,” which focused on energy security in Post-Soviet Eastern Europe. The hearing took place in the wake of the first major Ukrainian-Russian gas dispute in 2006 that demonstrated not only the Kremlin’s willingness to use its energy resources as a weapon to meddle in its immediate neighbors’ domestic affairs, but also the extreme dependency of much of  Europe on Russia’s energy supplies. At the time, experts and policymakers focused primarily on the enhancement of security of supply through the construction of new energy infrastructure, including pipelines, which would allow the diversification of energy imports of countries in the OSCE region. Ten years later, the energy landscape of the world fundamentally has changed. As Peter Doran, the Executive Vice President of the Center for European Policy Analysis (CEPA), stressed at a July 2017 Helsinki Commission briefing titled “Energy (In)security in Russia’s Periphery,” new energy infrastructure been built and the regulatory environment of the EU’s energy sector has significantly improved. At the same time, the shale gas revolution in the United States and the simultaneous development of a global liquid natural gas (LNG) market offers European gas consumers more alternative options to Russian gas imports than ever before. Most countries in Central and Eastern Europe have improved their energy security by the implementation of crucial reforms in their energy sectors. For example, in Ukraine, where for a long time “energy oligarchs” profiting from dodgy gas deals with Gazprom torpedoed any meaningful reform initiatives, a recent landmark decision has eliminated energy subsidies that have been a lucrative source of corruption for decades. However, Moscow has resisted surrendering its monopolistic market position and is fighting back through politically motivated energy projects designed to exploit the fault lines between European countries’ differing energy policies. The most important Kremlin-sponsored projects to date have been the planned Nord Stream 2 and TurkStream pipelines, which will carry gas to EU countries by circumventing Russia’s immediate post-Soviet neighbors. According to Doran, the Kremlin aims to end the role that neighbors like Ukraine, and to a lesser extent Moldova, currently play in the transit of gas to the EU through the Brotherhood and the Trans-Balkan pipelines. The success of Nord Stream 2 potentially could result in the loss of billions of dollars in transit revenues for Ukraine and Moldova, as well as diminishing their geopolitical importance for Europe, while subsequently enabling Russia to reassert its old influence over them by exploiting their diminished energy security. As a result of massive infrastructure projects promoted by the EU to develop reverse flow capacities on existing pipelines and create new interconnections, Ukraine is now capable of purchasing gas from a Western direction and, for the first time, since November 2015 has ceased buying gas contractually from Russia altogether. New pipeline infrastructure projects, namely the planned expansion of the Iaşi-Ungheni pipeline, as Lyndon Allin, Associate at Baker Mackenzie, pointed out at the same briefing, might enable Moldova in the medium-run as well to reduce its dependence on Russian gas that currently constitutes almost a 100% of its total gas consumption. Nevertheless, the effectiveness and profitability of these regional gas transit systems could be severely endangered once the transit of gas is diverted to other pipelines, potentially hampering the prospects of further gas infrastructure modernization, which is necessary for both countries to ensure their energy security. Moreover, as both ‘Stream projects’ would circumvent the region, Russian gas could become the only one that can be bought from the east as well as the west direction, strengthening Gazprom’s monopolistic market position in the region.  While political leaders on both sides of the Atlantic have been pushing recently for the introduction of U.S. LNG to the region to serve as a new ‘external solution’ to the above mentioned challenges, as Edward Chow, Senior Fellow at the Center for Strategic and International Studies (CSIS), noted at the briefing, the main challenge for post-Soviet Eastern European countries remains an internal one. While the level of energy infrastructure might already be close to sufficient, the biggest problem for post-Soviet countries remains the underdeveloped nature of their energy sectors that lack harmonized and stable regulations, consistently-applied property rights, and transparency. Additionally, as Dr. Mamuka Tsereteli, Senior Fellow of the Central Asia – Caucasus Institute pointed out, energy security could not be achieved without high-levels of cross-border market integration, even if physical infrastructures are in place. The underdeveloped nature of post-Soviet Eastern European countries’ energy sectors has been having a severe impact on the energy security of those states, in particular of Ukraine, which could be easily self-sufficient—even without the import of U.S. LNG—in natural gas if private investment was not being discouraged by the opaque, uncompetitive, and corrupt nature of its energy sector. Once the right regulatory environment is established, Ukraine, for instance, could possess an immense gas transmission and storage infrastructure that, if properly upgraded, as well as connected to the energy networks of Central European countries, could lead to the establishment of a highly liquid East Central European gas trading hub with a spot-based gas trade. This could create increased energy security in the entire region by improving both the level of competition and the diversification of supplies. While the West could offer the countries of post-Soviet Eastern Europe, Ukraine and Moldova in particular, alternative energy sources (e.g. U.S. LNG), these should and could not serve as a substitute for structural reforms and capacity-building, which are ultimately necessary to achieve true energy security in the region.

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