The evolution of the concept of energy security has a long history. For energy consumers the key is diversification. For this reason, the European Union believes that the new gas pipelines from Russia do not increase the energy security of the EU. On the other hand producers and exporters rely on long-term ‘take or pay' contracts. In 2006, on the eve of the G8 summit in St. Petersburg, the Energy Charter Secretariat (ECS) proposed the concept of ‘international energy security' as a triad: security of supply, demand and transit. The problem of energy security can only be solved on a multilateral basis, as exemplified by the Energy Charter Treaty (ECT) and its related documents which entered into force in 1998.

The Russian Federation was an active participant in the Charter Process until 2003-2004. However, Russia expressed the view that the Energy Charter had failed to prevent the Russian-Ukrainian gas crises of 2006 and 2009. In 2009, the country withdrew from the provisional application of the ECT and as a consequence deprived itself of the advantages provided by this tool. An example of such missed opportunities is the situation with OPAL.

Since the withdrawal of the Russian Federation from provisional application of the ECT, the ECT Contracting Parties have focused on the development of the new International Energy Charter (IEC), which will be signed in May 2015. Russia did not involve itself in this process, particularly after the Yukos award in July 2014.

To date, 52 countries have signed the ECT. The number of Observers has increased significantly to 26. Today the energy agenda is facing new challenges. Because of that, the Energy Charter Secretariat proposed to add a fourth element to the triad of ‘energy security' - the fight against ‘energy poverty'.

Non-participation of the Russian Federation in the Energy Charter Process means a gradual shift to the margins with regard to its integration into the global energy sector. Russia may lose the potential competitive advantages of participation in the Charter, thereby repeating the  unfortunate experience of the USSR interaction with the GATT / WTO.

Original article (in Russian) is available here.