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Divisions over Russian gas pipeline fuel perceptions of Berlin policy haze

By JONATHAN POWELL in London | China Daily | Updated: 2022-01-19 00:00
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Divisions within Germany's coalition government over Russia's Nord Stream 2 gas pipeline are said to be "weakening" the hand of Germany and the European Union, with the issue in sharper focus as Foreign Minister Annalena Baerbock visits Russia and Ukraine.

The Green Party's Baerbock visited Kiev on Monday and was due to visit Moscow on Tuesday, as tensions rise on the border of Russia and Ukraine.

The $11 billion Nord Stream 2 pipeline, which was completed in September but is not yet operational, was also put on the spotlight during Baerbock's visit.

She said on Monday that the pipeline is on hold and does not comply with European energy law.

The pipeline is owned by Russia's State-backed energy giant Gazprom and was built to carry gas from Western Siberia to Europe.

The pipeline to Germany, circumventing Ukraine, would double Russian gas export capability under the Baltic Sea to 110 billion cubic meters per year, reported Reuters.

Critics, including the Greens, say the pipeline will hugely increase Europe's reliance on Russian natural gas.

Ukraine fears that the new pipeline will impact income from its own gas transit route that delivers from Russia to Europe, said to be worth 4 percent of its GDP.

Nord Stream 2 has also driven a wedge between Germany and the United States.

An agreement was made between the US and Germany in July that said Berlin would impose energy sanctions on Moscow "should Russia attempt to use energy as a weapon or commit further aggressive acts against Ukraine".

Gazprom is now waiting for legal permission from German regulators to start sending gas down the pipeline to German consumers.

It is this permission that has become the subject of disagreement within the German coalition amid ongoing tensions, reported The Guardian.

Cautious stance

Chancellor Olaf Scholz and his Social Democrats largely back the pipeline. Scholz has refused sanctions against the project and takes a cautious, pragmatic stance, noted the Financial Times.

Scholz has repeatedly said Nord Stream 2 was a purely private sector enterprise and out of the state's regulatory reach.

Splits within the German government on pipeline policy are "weakening" Germany and the European Union, one expert told FT.

"We are seeing that the German government has no consolidated position and is … still looking for a Russia policy," said Stefan Meister, a specialist on Eastern Europe at the German Council on Foreign Relations.

Also speaking on Monday in Kiev, Baerbock warned that "any further escalation" would carry a high price.

Russian Foreign Minister Sergey Lavrov was due to hold his first meeting with Baerbock on Tuesday.

He said in a statement ahead of the meeting that there would be "an in-depth exchange on current international issues, above all on the realization of Russian proposals on security guarantees".

Lavrov said during a news conference on Monday that Russia was awaiting "concrete answers" to a series of sweeping security demands in Europe.

He added that "Russia's leadership is capable of protecting its interests both in terms of security and in terms of ensuring the rights of Russian citizens".

Baerbock's visit comes amid attempts to revive the so-called Normandy Format grouping of Germany, France, Russia and Ukraine whose aim is to de-escalate the conflict. The format was set up to resolve the conflict in Ukraine's eastern region of Donbass.

Agencies and Xinhua contributed to this story.

 

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