Greece backed out of Russian gas deal....seems to be a suicidal move.

[dixiegrrrrl]

From nakedcapitalism.com links page:

An offer from Gazprom was “ready for signatures”, and Greece walked away.

[T]he Greek government in the end balked at the Gazprom offer (which was ready for signature on 23rd April 2015) following warnings from the EU Commission that its terms were contrary to European law – i.e., to the Third Energy Package.

I was told by my source that the Greek government could not in the end bring itself to defy the EU Commission on this issue because of its fears that this would jeopardise its negotiations with the EU finance ministers at the Eurogroup meeting on the following day.

Alexander Mercouris’s “source in Athens” may be a Russian diplomat or official at their embassy in Athens, who is aggravated by Greece’s incomprehensible negotiating strategy.

There was no point in making overtures to Moscow if Greece was not prepared to follow them through. It was totally predictable that the EU authorities would object to whatever deal Greece made with Russia or with Gazprom. If Greece was not prepared to defy the EU authorities on this question, it should not have proceeded at all. As it is the Russians must be annoyed at being led up the garden path, while the European leaders have been antagonised and persuaded that Greece’s anti-austerity posture is ultimately a bluff.

http://www.nakedcapitalism.com/2015/04/syriza-failed.html

[mother earth]

1. Given the fact that Syriza seems to want to stay in the EU, it must have been a requirement to

some kind of deal, very interesting turn of events.

[dixiegrrrrl]

2. Also suggests that Varoufakis may not be running things, that Tsipras is.

A shame, because Greece could have had an Iceland outcome.

[mother earth]

3. Well Tsipras is & always has been. Varoufakis has been sidelined, but still in charge,

when what it really means is the EU wasn't getting anywhere with him because he sees the bigger picture & will not bargain to go back to austerity.

I think Tsipras wants to see where this goes, Varoufakis has been emphatic about not leaving the EU, but it is always on the table because they will not go back to austerity. I think they (Syriza) are offering up their reforms & seeing where it all goes. Clearly the EU thinks they will win points by not dealing with Varoufakis. They are pure greed.

Who the hell knows what happens next. With the media you simply get two different sides loaded with BS and varying opinions every single day!??!!
I think the alignment with Russia was seen as divisive to the EU, so something had to be offered up to put that deal off, perhaps only for now... I also think they understand the relationship of Syriza, Tsipras, YF, and Greece, it won't be easily torn asunder! But that's my take.

I still wouldn't rule out an Iceland outcome. There won't be a change in regime (Syriza), because the people love them, its the first time they are being truly represented. The push by Syriza youth is to leave the EU. If there isn't a substantial deal I suspect it will go to a referendum (vote). It's always the youth that are forward thinking, and they've made their position known.

I don't blame either side for not wanting a Grexit. It will be far reaching & they are all scared to death, neither side will admit it.

Having said all of the above, you really can't rule anything out at this point. It could simply be posturing, but if a deal is going to be made it is now crunch time. I think the EU is crazy, I don't see Syriza buckling. Worst scenario to me is it is put to a vote, Syriza will let the people decide.

The thing is, Greece is small potatoes to the Spain problem, which should really be shaking the EU to the core. Shock doctrine is hell for the people, the powers that be would be wise to make concessions and start forgiving some debt on all fronts. Some payment is better than default.