To: Wharf Rat who wrote (142374 ) 8/30/2008 3:12:54 AM From: Wharf Rat Read Replies (1) | Respond to of 362769 Russia is fighting a new Cold War with banks and pipelines, not tanks and warplanes By Edward Lucas Last Updated: 1:01pm BST 29/08/2008Page 1 of 3 In classical mythology, Georgia was the land where the Argonauts had to harness bulls with bronze hooves to win the Golden Fleece. Modern Georgia is the source of a treasure scarcely less precious: oil and gas from central Asia and the Caspian, piped along the only east-west energy corridor that Russia does not control. But whereas Jason and his comrades triumphed, our quest has ended in humiliating failure. As the occupying power in Georgia, Russia can close or destroy those pipelines whenever it wishes. The only country in the region that even came close to sharing Western values, one vital for our energy security, has been humiliatingly defeated and dismembered. Russian aggression did not start in Georgia but has its roots in the mid-1990s As politicians and voters in the free world return from their holidays, two big questions require answering. What happens next? And how do we stop it? Decoding the Kremlin’s precise intentions is as tricky now as it was in the days of Kremlinology – a discipline as archaic as Morse code. But the outlines are clear. Russia wants to recreate a “lite” version of the Soviet empire in eastern Europe and to neutralise the rest of the continent. Unlike the old Cold War, military action is a last resort: for the most part, it is banks and pipelines, not tanks and warplanes, that are doing the dirty work. This may sound strange, given what has happened in Georgia. But it is vital to realise that this was not the beginning of a new Russian push, but part of something that began in the mid-1990s. Russia has nobbled Belarus – the only other country, apart from the Hamas-controlled Gaza Strip, that is ready to recognise the new statelets of South Ossetia and Abkhazia. It props up the narco-state of Tajikistan, cossets the dictatorship in Uzbekistan and woos the benighted despots of Turkmenistan. It has a cautious alliance with China, in the form of the Shanghai Co-operation Organisation, an outfit dedicated to fighting “extremism, terrorism and separatism” (although this last “-ism” has evidently been forgotten when it comes to Georgia). It has stitched up energy deals in North Africa; it flirts with Iran and sells weapons to Hugo Chavez, the America-hating windbag who runs Venezuela. And by using energy diplomacy and divide-and-rule tactics, it is stitching up Europe country by country, from Cyprus to the Netherlands. And it works. Over the crisis in Georgia, Europe has shown astonishing softness. The leaders of the EU have been all but invisible. Where is the supposed foreign-policy chief, Javier Solana? Or the foreign-affairs commissioner, Benita Ferrero-Waldner? Meanwhile, Nicolas Sarkozy, the French president, has been humiliated by the blatant Russian breaches of the ceasefire agreement that he negotiated. Europe’s weakness is the result of multiple forms of soft-headedness and short-sightedness. Partly it is simple anti-Americanism: if Vladimir Putin is making life difficult for George Bush, he must be a good guy. That attitude lies behind the astonishing opinion polls in countries such as Germany, which show that people have more trust in xenophobic, authoritarian Russia than they do in the world’s most powerful democracy. There is also a mistaken belief that Russia is an ally in the struggle against globalisation: here is a country, argue intellectuals such as the British historian Correlli Barnett, that does not let itself be pushed around by multinational companies and the meddling do-gooders of the self-appointed “international community”. But this is to misunderstand Russia under its kleptocratic and chauvinist ex-KGB rulers. Russia likes multilateral organisations, so long as it dominates them. It runs a whole bunch: for example, the “Commonwealth of Independent States”, which it is using to legitimise its occupation of Georgia. Russia is also advocating a new pan-European security organisation, with formal legal status. This, it hopes, will exclude the United States, and tie up the West in the knots of international law, so that military intervention of the kind seen in the former Yugoslavia becomes all but impossible. Similarly, although the Kremlin makes life difficult domestically for Western oil companies and tightly restricts foreign investment in any industry that it dubs “strategic” (which potentially covers almost anything), it is another story abroad. Russia delights in the possibilities of the global economy. If regulators in New York are sniffy about listing stolen companies on the stock exchange, there is always London. And if you fail even London’s undemanding test, Dubai, Bombay and Shanghai await with open arms. Continued 123telegraph.co.uk