Inside the Russian Energy Week 2025 (Part II)

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OPINION

By Nnanda Kizito Sseruwagi

Putin revealed Russia’s move to deepen cooperation in the nuclear industry with countries of the Global South, within the BRICS framework, while speaking at the Russian Energy Week.

This is a good development for us in the Global South, since it is apparent that nuclear energy will become one of the key structural pillars of the future global energy balance.

Russia is the only country in the world that is currently planning in the next 15 years to commission more than 29 gigawatts of nuclear power plant capacity. So, it is a great energy partner for any developing country.

The forum also contemplated the growing electricity demand, which is being driven by the digital economy, including tools of artificial intelligence, blockchain, and facilities for data storage and processing.

It is estimated that the energy consumption of data centres worldwide is already comparable to that of the entire heavy industry (Heavy industry is an industry that involves one or more characteristics such as large and heavy products; large and heavy equipment and facilities; or complex or numerous processes).

The third feature of modern energy, which Putin talked about, is the challenge facing participants of this global market. It concerns the technological sovereignty of countries that produce oil, gas, and other energy resources.

Elites of the Occident arbitrarily refused to service the equipment for the fuel and energy complex supplied to Russia. They officially declared that they would not fulfil their obligations, proving that they are unreliable partners.

It is obvious that Western businesses and industries were forced to act this way under the pressure of their ruling political elites. This exposes the fact that Western technologies and equipment for the fuel and energy complex can become unavailable at any moment for geopolitical reasons. This is the reality of today that all our countries must consider.

President Putin advised that the smart and necessary thing to do now is to actively change the status of energy-producing countries from that of equipment buyers to technological leaders, to form at the national level a full-fledged energy sovereignty, from resource extraction and processing to the transportation of finished products.

On the sidelines of the Energy Week, a meeting of the Coordinating Council on import substitution of equipment in the oil and gas sector also took place. Some Russian companies had initially engaged in reverse engineering (of equipment) but improved quite quickly.

The production of equipment by European companies is now becoming unprofitable, making them reduce their workforces, and they are beginning to lose technologies.

On the flipside, Russian specialists are expanding and becoming technological leaders because their domestic market allows them to produce products at a good, profitable level. And now partners are appearing all over the world who are purchasing this equipment already from Russian companies. Putin jibed at Europe for mishandling this issue, remarking that they... “Bought a ticket and didn’t take the trip just to spite the conductor. It’s nonsense, you see, utter nonsense.”

Russia’s production of extraction equipment and field chemistry is also growing. Domestic technological solutions are being implemented in the maintenance of fields and infrastructure.

Russia possesses enormous engineering potential and serious scientific and practical groundwork in the fuel and energy complex, which has stood the test of time and proven its effectiveness in harsh natural and climatic conditions.

It has further harnessed the competencies, experience, and developments to advance even in complex segments of the energy sector, to extract hard-to-recover reserves, which is especially relevant for the oil industry. And it is committed to do this not only independently but also together with friendly states which perfectly understand the geopolitical risks.

Russia offers comprehensive technological cooperation among energy-producing countries that is not dependent on sanctions or external pressure, but rather a genuine partnership based on the exchange of knowledge, experience, and the creation of industrial alliances.

As far as nuclear energy is concerned, Russia is truly an absolute leader with no dependence on anyone. Everything that is done in the nuclear sector is done in Russia. Putin promises that this will absolutely be replicated in all types of the energy industry, and the same applies to oil and gas equipment.

A new term has now been coined in the business and expert circles to say that the world is entering an era of “energy realism”.

The irresponsible actions of certain Western elites have led to a situation where the main focus is no longer on the parameters of the energy transition or on comparing emission volumes from different types of fuel.

The determining factor has become access to fuel and energy itself, the presence of networks and pipelines, and the installed capacity of energy systems.

Putin’s caution under these conditions is that it is especially important to manage resource extraction and reserves effectively, to ensure the technological and environmental development of the industry so as to supply the domestic market, achieve national development goals, and also fulfil Russia’s external commitments.

Certainly, the Russian Energy Week revealed that Russia is strengthening its position as a global energy leader and developing partnerships aimed at building a fair and sustainable model of global energy in the interests of future generations.

The writer is a senior research fellow, Development Watch Centre