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techkenyot.com February 21, 2019


Germany to keep final say on Russian Federation pipeline

10 February 2019, 10:02 | Glen Norman

Merkel Announces EU Reached Agreement on Nord Stream 2 – Reports Sputnik Irina Kalashnikova

French President Emmanuel Macron and German Chancellor Angela Merkel

Diplomats said the draft compromise was submitted to a meeting of European Union ambassadors discussing a revision of gas market rules for the 28-nation bloc.

Russian President Vladimir Putin, for his part, has voiced the belief that US President Donald Trump is seeking to force Russia out of the European energy market so that the United States can sell more liquefied natural gas to Europe.

The resolution calls for the pipeline's cancellation and supports a multinational freedom of navigation in the Black Sea after Russia's aggression against Ukraine in the Kerch Strait. "Yes, we are ready to support the Ukrainian Transit will continue, but under the terms we need".

The $11 billion Nord Stream 2 gas pipeline project is set to run from Russian Federation to Germany under the Baltic Sea. "The Nord Stream 2 pipeline will heighten Europe's susceptibility to Russia's energy blackmail tactics".

Now that the proposal has gained enough support, EU Council officials will start negotiations with the European Parliament next week to finalise the reform. In November 2017, the EC proposed extending European Union energy rules to gas pipelines from third countries to Europe. Therefore, the line should be built to the end.

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However, an attempt to implement new regulations mid-way through the Nord Stream 2 project are nearly certain to run into legal challenges from Russian Federation, said Katja Yafimava, a senior research fellow at Britain's Oxford Institute for Energy Studies.

"It would be fatal, if a fully approved billion-euro project, in which billions have been invested, could suddenly no longer be carried out", OMV CEO Rainer Seele said earlier this week.

"It only happened because Germany and France worked very closely together, also with the Romanian presidency (of the EU) and other member states", German Chancellor Angela Merkel said in Berlin.

Angela Merkel hit back at Emmanuel Macron over Russian Federation and Germany's pipeline project, declaring it would "not be a one-sided dependency".

"I think this is a good day and it wouldn't have happened this way without German-French cooperation", Merkel said.

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France's defection is also surprising, because one of the financial investors in Nord Stream 2 is Engie, a French-led multinational company.

"The Americans don't want Nord Stream 2 to happen", an adviser to French President Emmanuel Macron said on condition of anonymity because he was not authorized to be publicly identified, stressing that it was not American pressure that shaped the French position.

The French Ministry of foreign Affairs had initially announced on Thursday, the government in Paris wool unlike Germany votes for a tightening of the rules for Pipelines from third countries.

Former German chancellor Gerhard Schroeder is chairman of Nord Stream's shareholders committee.

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