After Putin ordered troops in Donetsk and Luhansk, Germany said it is halting the certification as it fears Russia will invade Ukraine
Germany has halted the certification of 750 miles Nord Stream 2 gas pipeline after the President of Russia – Vladimir Putin ordered troops into two rebel-held regions of Donetsk and Luhansk in Eastern Ukraine.
The 750-mile pipeline was completed in September 2021 but has not yet received final certification from German regulators.
Despite opposition from the United States (U.S.), United Kingdom (U.K.), Ukraine and Poland, Germany had supported the Nord Stream 2 pipeline. The West had warned this could increase Russian influence in Europe. It costs € 10 billion (£ 8.4 billion), with the funding split between Russian and Western energy companies.
Nord Stream 2 could deliver 55 billion cubic meters of gas per year. That’s more than 50% of Germany’s annual consumption and could be worth as much as U.S. $ 15 billion to Gazprom, the Russian state-owned company that controls the pipeline. Gazprom is the sole shareholder in Nord Stream 2 but 50% of the finance has been provided by 5 Europe based companies which include Germany based Wintershall and Uniper, U.K. based Shell, France based Engie and Austria based OMV.
Speaking on the occasion, the Chancellor of Germany – Olaf Scholz said, “With regard to the latest developments, we need to reassess the situation also with regard to Nord Stream 2. It sounds very technocratic but it is the necessary administrative step in order to stop certification of the pipeline.”
Taking it to twitter, the President of European Commission – Ursula von der Leyen tweeted,
Germany is right on Nordstream2.
— Ursula von der Leyen (@vonderleyen) February 22, 2022
⁰The pipeline has to be assessed in light of the security of energy supply for the whole of Europe.
⁰We are still too dependent on Russian gas.
⁰We have to strategically diversify our suppliers and massively invest in renewables. pic.twitter.com/RrKUZyCTSx
Welcoming the move, the Foreign Minister of Germany – Dmytro Kuleba tweeted,
I welcome Germany’s move to suspend the certification of Nord Stream 2. This is a morally, politically and practically correct step in the current circumstances. True leadership means tough decisions in difficult times. Germany’s move proves just that. @ABaerbock
— Dmytro Kuleba (@DmytroKuleba) February 22, 2022
Germany tried to keep the gas pipeline out of global politics but after Putin ordered troops in Donetsk and Luhansk, Germany said it is halting the certification as it fears Russia will invade Ukraine.
Besides, the U.S. has banned American people and companies from conducting any trade or investment in the rebel-held regions and promised more action to follow. The U.K. has also announced sanctions against 5 Russian banks and 3 Russian businessmen, saying their UK assets will be frozen and they will be banned from the country. The European Union (E.U.) has also planned first wave of sanctions, which include targeting all members of Russia’s parliament who approved the decision of sending troops to Donetsk and Luhansk.
