Petrostate: Putin, Power, and the New Russia
by Marshall I. Goldman
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Book Summary Information
Author: Marshall I. GoldmanEdition: Hardcover
Published: 2008-05-27
ISBN: 0195340736
Number of pages: 256
Publisher: Oxford University Press, USA
Book Reviews of Petrostate: Putin, Power, and the New Russia
Book Review: The Future of our Foreign Policy
Summary: 4 Stars
This book is an important read for anyone with an interest in foreign policy and the role that energy is playing in it.
I have read the book and listened to Marshall Goldman speak, and read the other reviews, and am writing this because I think the other reviewers may be missing an important point. It is not so much about the details of the book, and I am sure there are some factual errors. The story is about Putin and about Energy, and how Putin has turned Russia from a bankrupt nation to an energy and economic. powerhouse. Goldman's main message is that we should understand how Russia is successfully using energy as a tool of foreign policy. For example, much of Europe, particularly Germany and Eastern Europe, is becoming dependent on Russia for natural gas, a principle source of their energy supply. Russia is building Nord Stream, a pipeline under the Baltic to deliver natural gas directly to Germany. Russia has a pipeline under the Black Sea to deliver natural gas through Turkey up to Hungary. Russia recently reduced the supply of oil to the Czech Republic, a clear suggestion that Russia is unhappy with U.S - Czech Missile Defense Agreement. Russia is attempting, with some success, to create a pipeline monopoly for delivering natural gas to Europe. Goldman shows how Gazprom is squeezing the supporters of the non-Russian NABUCCO Pipeline from Azerbaijan through Georgia to Turkey and thence to Europe, and how Russia, through Gazprom, particularly is creating partnerships with other gas producers, such as Algeria, to be their distribution arm, closing out possible competitors. Goldman describes the concept of having Russian company officers being simultaneously key members of the government, therefore assuring that the companies are supporting government objectives and policies. Gazprom is a particularly good example.
Of course, all of this Russian power comes from a simple fact: the price of oil and natural gas has jumped since 1998, when Russia was almost bankrupt. Putin is the beneficiary even if not the cause of this phenomenon.
One might get dramatic and say that Russia has invaded Europe, with natural gas pipelines rather than tanks. Perhaps we should take note.
Summary of Petrostate: Putin, Power, and the New Russia
In the aftermath of the financial collapse of August 1998, it looked as if Russia's day as a superpower had come and gone. That it should recover and reassert itself after less than a decade is nothing short of an economic and political miracle.Based on extensive research, including several interviews with Vladimir Putin, this revealing book chronicles Russia's dramatic reemergence on the world stage, illuminating the key reason for its rebirth: the use of its ever-expanding energy wealth to reassert its traditional great power ambitions. In his deft, informative narrative, Marshall Goldman traces how this has come to be, and how Russia is using its oil-based power as a lever in world politics. The book provides an informative overview of oil in Russia, traces Vladimir Putin's determined effort to reign in the upstart oil oligarchs who had risen to power in the post-Soviet era, and describes Putin's efforts to renationalize and refashion Russia's industries into state companies and his vaunted "national champions" corporations like Gazprom, largely owned by the state, who do the bidding of the state. Goldman shows how Russia paid off its international debt and has gone on to accumulate the world's third largest holdings of foreign currency reserves--all by becoming the world's largest producer of petroleum and the world's second largest exporter. Today, Vladimir Putin and his cohort have stabilized the Russian economy and recentralized power in Moscow, and fossil fuels (oil and natural gas) have made it all possible.
The story of oil and gas in Russia is a tale of discovery, intrigue, corruption, wealth, misguidance, greed, patronage, nepotism, and power. Marshall Goldman tells this story with panache, as only one of the world's leading authorities on Russia could.
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