German energy firm E.ON last week closed a deal with Russian monopoly Gazprom that paves the way for meeting supplies for the Nord Stream pipeline under the Baltic Sea.

"We hope that the project makes progress and that powers outside the region, which have nothing to do with it, don't attempt to influence that progress," the Russian president said.

Analysts observing the energy sector in Europe see Western powers falling behind Russia in terms of the regional balance of power, putting the Kremlin in an advantageous position in the oil and gas market.

For his part, U.S. Ambassador to Sweden Michael Wood issued a stark warning to Europe on Russian energy dependence.

Meanwhile, German officials said they would not back a common European policy to regulate assets in the energy market as the Nord Stream project gains momentum.

Nord Stream is a planned route through the Baltic Sea to bring Russian gas to Germany by 2011.