Struggle for Central Asian energy riches: "Russia is in retreat and the Chinese are jumping on

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the big opportunities."

A year ago, the Kremlin issued a stark warning: that growing competition for control of global energy resources could spark wars on Russia's borders, including those in Central Asia. "Problems that involve the use of military force cannot be excluded, that would destroy the balance of forces close to the borders of the Russian Federation and her allies," said a key Kremlin strategy document assessing the main security threats of the coming decade.

But the Central Asian states realise one of their greatest strategic strengths as independent countries is playing off the big global powers now scrambling to buy their precious energy supplies. So, Moscow now finds itself in fierce competition with the big players: China, the US and Europe. "Russia's overall position in Central Asia is shrinking," says Mikhail Kroutikhin, editor-in-chief of the Russian Energy Weekly.

From Turkmenistan, a pipeline carrying gas to China via Uzbekistan and Kazakhstan was opened last December by the Chinese President Hu Jintao. It could satisfy around half of China's current demand by the time it reaches full capacity in 2013. Having agreed two years ago to pay a much higher price for Turkmen gas, to ensure it remained a loyal supplier, the Russians suddenly shut the taps 12 months ago, causing the pipeline to explode.

http://news.bbc.co.uk/2/hi/world/asia_pacific/10131641.stm