The German Chancellor has condemned Russia's decision to cut oil supplies to Europe and warned Moscow that its lack of consultation on the matter "destroyed trust", reflecting growing alarm within the EU at the vulnerability of its energy supply.

Speaking in Berlin after a meeting with Jose Manuel Barroso, the European Commission president, Angela Merkel said that "energy security" would be a key priority of Germany's six-month European Union Presidency.

Mrs Merkel spoke as the dispute between Russia and Belarus showed no sign of abating, with officials from both countries apparently making no progress in finding a compromise to re-open the Belarussian pipeline, and Belarus complaining that meetings between officials of both countries in Moscow, scheduled for today, had been delayed.

The dispute escalated suddenly yesterday when Russia closed its Druzhba pipeline to Europe through Belarus, after accusing its ex-Soviet neighbour of siphoning off oil which was meant for Germany, Poland, Hungary, Ukraine, Czech Republic and Slovakia.

Belarus is furious with Russia for raising its oil taxes, and Russia claimed it was starting to siphon off oil in relatiation, a charge which Belarus denies. More than 1.2 million barrels of oil a day flow from Russia through the Druzhba, or Friendship, pipeline, providing almost a quarter of Germany’s needs and 96 per cent of Poland’s imports.

A similar "gas war" erupted last January with the Ukraine, which caused supplies to Europe to drop briefly by a third during one of the coldest winters recorded, and the latest dispute has raised further anxiety as to reliability of Russian energy among European leaders.

This morning, Ms Merkel met Mr Barroso in Berlin, and indicated that a key priority for Germany in its six-month presidency of the European Union would be securing a common energy policy.

"The German EU presidency will work out an energy strategy which will focus on energy as well as climate protection," Merkel told a press conference.

Mrs Merkel stressed the need for more competition in the energy sector, as well as promoting renewable energy and energy efficiency. "Energy security does play an important role. Securing energy supply should be boosted through more competition and efficiency," she added.

The German Chancellor made her strongest demand yet that Russia must consult its European neighbours if an energy problem or dispute lies ahead, condemning the failure of Vladimir Putin, the Russian leader, to consult the EU ahead of time.

"It is not acceptable if there is no consultation on such issues. That destroys confidence and this is no basis for smoothly building up a constructive relationship," the German Chancellor said.

She added that the message to both Russia and Belarus was "that consultations are the least thing to do".

The German Chancellor's comments came after she indicated to The Times
yesterday that Germany would take a harsher line towards Russia than her predecessor.

"For us, energy is what coal and steel used to be," she said, referring to the driving forces behind the European project.

Standing alongside Frau Merkel at today's press conference, Mr Barroso underscored her remarks by highlighting that this was "another demonstration, if it was necessary, that we need a common energy policy".

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