Article: Berlin's Russia challenge.

RUSSIA HAS found an innovative way to ring in the New Year with its European partners: threatening to cut off energy supplies. At the beginning of 2006, it was gas exports through Ukraine; in January 2007, it was oil supplies through Belarus. Although President Lukashenko backed down and oil again flowed to Europe, the actions of pipeline monopoly Transneft--and President Putin's failure to inform Germany about the impending cutoff--presented German Chancellor Angela Merkel with an unwelcome start to Germany's EU presidency. The Russians insisted that they were only moving to world prices and a subsequent meeting in Sochi produced assurances from Russia that it would ...

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