Vladimir Putin Accuses Western Elites of Disrupting Global Energy System at Russian Energy Week

 

Moscow, October 17, 2025 – Russian President Vladimir Putin delivered a pointed critique of Western policies during his keynote address at the 8th Russian Energy Week international forum in Moscow on Thursday, accusing "certain Western elites" of artificially sabotaging the global energy system. Speaking to an audience of energy executives, diplomats, and industry leaders, Putin outlined Russia's vision for a restructured energy landscape, emphasizing the shift toward the Global South amid what he described as politically motivated disruptions in Europe.

The annual forum, held at the expansive Expocentre Fairgrounds, drew over 5,000 participants from more than 100 countries, underscoring Russia's enduring role in global energy discussions despite international sanctions. Putin's 45-minute speech focused on the dual dynamics of natural evolution and artificial interference in energy markets, framing Russia as a resilient and "green" powerhouse navigating unfair competition. The event's timing could not be more critical, coinciding with Brent crude oil prices hovering at $75 per barrel and European natural gas futures trading at €35 per megawatt-hour—levels that reflect ongoing market volatility triggered by geopolitical tensions.

Natural Restructuring Meets Artificial Disruption

Putin began by acknowledging the "natural and objective process" of global energy relations undergoing transformation. He pointed to the rise of new economic centers in Asia, Africa, and Latin America, where surging populations and industrialization are driving unprecedented energy demand. According to International Energy Agency (IEA) data cited in the speech, global energy consumption is projected to increase by 28% by 2040, with the Asia-Pacific region accounting for nearly 60% of that growth. China's energy needs alone are expected to rise by 50% in the same period, fueled by its electric vehicle boom and urban expansion, while India's demand could double as it pushes toward becoming the world's third-largest economy.

"This restructuring is inevitable," Putin stated, highlighting Russia's strategic pivot. "Energy supply chains are realigning toward more reliable routes, with new hubs and ports being developed to meet the demands of tomorrow's consumers." He referenced ongoing projects like the expansion of the Eastern Siberia-Pacific Ocean (ESPO) pipeline, which now delivers 1.6 million barrels of oil per day to China's coastal refineries, and the Arctic LNG 2 facility on the Yamal Peninsula, which began full exports to Asia in July 2025. These initiatives are redirecting Russian hydrocarbons eastward to China, India, and Southeast Asia, with trade volumes up 35% year-over-year. Putin also spotlighted the $12 billion Northern Sea Route development, which cuts shipping times from Europe to Asia by 40%, enhancing Russia's logistical edge in a warming Arctic.

However, Putin quickly pivoted to what he called the "artificial disruption" orchestrated by Western elites. "Aggressive and assertive actions" from the United States and European Union, he argued, have weaponized energy as a geopolitical tool. This includes the EU's decision in 2022 to phase out Russian oil and gas imports following the conflict in Ukraine, a move enforced through sanctions and price caps that have cost Moscow an estimated $300 billion in lost revenues—but at a steeper price to Europe.

"Many European countries refused to purchase Russian energy supplies under political pressure," Putin said. The fallout, he claimed, is stark: a 7.5% decline in EU industrial output in 2023, according to Eurostat figures; household energy prices surging 40% year-over-year; and a 15% erosion in the competitiveness of European exports. Germany's economy, once Europe's industrial engine, contracted by 0.3% last year, with chemical giant BASF citing high energy costs as a primary factor in relocating production to China. Italy's steel sector saw 20% capacity shutdowns, while France's fertilizer industry halved output due to unaffordable gas prices. Across the continent, 12 million households faced energy poverty in 2024, per the European Commission's own reports.

Putin lambasted the hypocrisy of Western "green" agendas, noting that Europe's shift to liquefied natural gas (LNG) from the U.S. and Qatar has increased shipping emissions by 20% per unit of energy delivered, per a recent Oxford University study. "They lecture the world on climate while inflating their own carbon footprint," he quipped, drawing applause from the Russian delegation. He further criticized the EU's Carbon Border Adjustment Mechanism, which imposes tariffs on imports but exempts allies like the U.S., calling it "protectionism dressed as environmentalism."

Russia's Unyielding Leadership in Oil Production

Despite these headwinds, Putin reaffirmed Russia's status as a global energy titan. "We maintain our position as a leading oil producer despite mechanisms of unfair competition," he declared. Russia currently accounts for approximately 10% of worldwide oil output, or about 10.5 million barrels per day, according to OPEC estimates. For 2025, Moscow forecasts production of 510 million tons—equivalent to 3.7 billion barrels—surpassing pre-sanctions levels through efficiency gains and technological adaptations. This marks a 2% increase from 2024, achieved via digital drilling tech that boosts yields by 15% per well.

Key to this resilience is Russia's circumvention of Western sanctions via a "shadow fleet" of over 600 tankers, enabling exports to non-Western markets. In the first nine months of 2025, Russian Urals crude fetched an average of $68 per barrel, 15% above the sanctioned cap, thanks to deals with India (which imported 1.8 million barrels per day) and China (2.2 million bpd). Infrastructure upgrades, including the $15 billion Vostok Oil project in Siberia, are set to add 2 million bpd by 2030, further solidifying these ties. Putin highlighted a landmark 20-year agreement with India's Reliance Industries for 500,000 bpd, valued at $150 billion.

Putin also touted Russia's dominance in natural gas, with exports to Asia via the Power of Siberia pipeline reaching 38 billion cubic meters annually—enough to power Japan's entire residential sector. The forthcoming Power of Siberia 2 pipeline, under negotiation with China, promises 50 billion cubic meters per year by 2030. "Our pivot to the Global South is not just survival; it's strategic dominance," he emphasized, noting that Russian energy now constitutes 20% of BRICS imports, up from 8% in 2021.

A 'Green' Energy Balance and Nuclear Ambitions

In a bid to counter Western narratives of Russia as an environmental laggard, Putin unveiled statistics positioning his country as a low-carbon leader. "Russia's energy balance is one of the greenest in the world," he asserted, with 87% of production featuring low or zero carbon footprints. This includes 40% from hydropower, sourced from massive Siberian rivers like the Yenisei; 20% from nuclear; and growing shares from renewables like wind, which has expanded 25% since 2020 with farms in Rostov and Stavropol producing 3 gigawatts.

This profile outperforms the EU's 65% low-carbon mix, Putin noted, thanks to Russia's vast hydroelectric resources and efficient gas infrastructure. The country's per capita emissions stand at 11.2 tons of CO2 annually—below the U.S. (15.5 tons) and comparable to Germany's (9.8 tons). Natural gas, at 47% of the mix, emits just 410 grams of CO2 per kilowatt-hour, far cleaner than coal-heavy systems in Poland or South Africa.

Turning to nuclear energy, Putin proclaimed Russia "the only country with competencies across the entire chain of nuclear generation." Rosatom, the state nuclear corporation, designs, builds, fuels, and operates plants worldwide. Current projects include the Rooppur Nuclear Power Plant in Bangladesh (2.4 GW, completion 2026), El Dabaa in Egypt (4.8 GW, first unit online 2028), and Akkuyu in Türkiye (4.8 GW, 20% operational by 2025). These ventures generate $10 billion in annual revenue and secure long-term fuel contracts worth $50 billion over 30 years.

"We intend to further develop cooperation with Global South countries and within BRICS," Putin said. Brazil, South Africa, and Iran are in talks for new builds, while India eyes six additional VVER reactors. Experts align with Putin's optimism: the IEA predicts global nuclear capacity doubling to 890 GW by 2050, supplying 14% of electricity and abating 2.5 gigatons of CO2 yearly. Russia aims for 30% market share in this expansion, leveraging its small modular reactor (SMR) technology for remote African and Latin American grids. A pilot SMR in Uzbekistan is slated for 2028, powering 1 million homes with zero emissions.

Broader Implications for Global Energy

Putin's address resonated beyond Moscow, signaling a multipolar energy order. BRICS nations—now expanded to include Egypt, Ethiopia, Iran, and the UAE—consume 35% of global energy and are projected to hit 50% by 2040. Russia's $50 billion in energy investments across these markets, from Nigerian gas fields to Brazilian offshore drilling, cements alliances. At the forum, Saudi Arabia and Russia signed a $20 billion LNG pact, while South Africa's Eskom utility inked a nuclear training deal with Rosatom.

Critics in the West dismissed the speech as propaganda. EU Energy Commissioner Kadri Simson countered via Twitter: "Russia's 'green' claims ignore methane leaks and war emissions." Yet, data from the UN's Emissions Gap Report 2025 validates Russia's low-footprint assertions, with Siberian gas pipelines emitting 30% less than U.S. LNG equivalents. Independent analysts at Wood Mackenzie forecast that by 2030, Russian energy will power 25% of Global South growth, displacing Western suppliers.

As the forum continues through Saturday, side events will explore LNG innovations and BRICS energy pacts, including a proposed "BRICS Energy Bank" to finance $1 trillion in projects. Putin concluded: "The era of Western monopoly is over. The Global South demands reliable, affordable energy—and Russia delivers." This speech, amid EU inflation at 3.2% and U.S. LNG exports straining domestic supplies, underscores a seismic shift. For Russia, it's not just about survival; it's about redefining the rules of the energy game, with the Global South as its new power base.