EU warned against dependency on Russian energy

The International Energy Agency (IEA) has warned Europe against becoming too dependent on Russian energy supplies.

IEA chief economist Fatih Birol told Financial Times Deutschland that "Europe must change its energy policy in order to avoid becoming too dependent on Russian gas."

His statement comes in reaction to Russian monopoly Gazprom's warning that it would consider delivering its gas elsewhere if investment opportunities in Europe were blocked.

"The recent statements are a warning sign and should open the eyes of European politicians," said Mr Birol, who went on to suggest that nuclear energy could provide "a key part of the solution."

The European Commission also reacted strongly to Gazprom's threat.

"That statement gives grounds to our concerns on the growing foreign dependency of European energy supply and...our need to diversify the origin of our supplies and our supply routes," a commission spokesman said on Thursday.

Gazprom's statement, issued on Wednesday, followed media reports that the British government was looking into ways of changing merger laws to thwart the Russian company from taking over Centrica, the parent company of British Gas.

"Attempts to limit Gazprom's activities in the European market and politicise questions of gas supply, which in fact are of an entirely economic nature, will not lead to good results," Gazprom CEO Alexei Miller said in the statement after a meeting with EU ambassadors.

"It should not be forgotten we are actively seeking new markets such as North America and China," the text continued.

Energy has been pushed to the top of the political agenda since early this year when gas supplies to Europe were disrupted following a dispute between Russia and Ukraine.

France, Germany and Italy rely heavily on Gazprom for their energy supplies.