The pipeline is part of Russian Federation efforts to develop ties with Asia - in particular top energy importer China - amid longstanding tensions with the West.
"This is a genuinely historical event not only for the global energy market but above all for us, for Russia and China", said Mr. Putin, who watched the launch via video link from the Russian Black Sea resort of Sochi.
TurkStream, which Putin and Turkish leader Recep Tayyip Erdoğan hope to launch in January, is to transport Russian gas to Turkey.
Analysts said the three projects have long-term economic and political benefits for Russian Federation, which has inserted itself between European markets to the west and the rapidly growing Chinese market to the east.
The pipeline bolsters the nations' ties while China is embroiled in a trade dispute with the U.S. It stems from a $400 billion deal signed in 2014 by Russian state energy giant Gazprom, which agreed to deliver 38 billion cubic meters of natural gas annually to China National Petroleum Corp for the next 30 years.
The 3,000-kilometre pipeline runs from remote regions of eastern Siberia to Blagoveshchensk on the border, then into China.
Russian Federation and China signed a 30-year, US$400 billion (S$547 billion) deal for its development in 2014, in the biggest ever contract for Gazprom.
"The absolute lowest air temperatures along the Power of Siberia route range from minus 62 degrees Celsius [-80 Fahrenheit] in the Republic of Sakha (Yakutia) to minus 41 degrees Celsius [-41 Fahrenheit] in the Amur Region", it added.
The bridge, which is to open next year, will connect the city of Blagoveshchensk and the northern Chinese city of Heihe.
Speaking in Moscow last week, Chinese vice foreign minister Le Yucheng said the pipeline would boost cooperation and allow the two countries "to complement each other's strengths and pursue common rejuvenation".
"It will never pay for itself", Krutikhin told AFP.
Here is a list of facts to know about Power of Siberia prior to its historic launch on 2 December.
Nord Stream-2, which would double Russian gas volumes to Germany, is expected to go online in mid-2020.
Moscow began supplying natural gas to western and central Europe in the 1950s and Europe has always been Russia's major consumer of gas, supplied by Kremlin-controlled energy giant Gazprom, with total annual supplies of around 200 bcm.