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have agreed about sanctions, how can we talk for a limited period of time. However, the minis-
about solidarity?” ter can revoke the permit at any time,” the press
The European Commission issued a state- secretary said.
ment saying that the return of the equipment Ukraine’s ambassador to Canada, Yulia
did not violate the sanctions regime. Kovaliv, expressed disappointment, noting that
“the revenues from gas and oil are directly sup-
Germany faces an energy crisis porting the Russian military. To waver even for
Government officials told the Globe and two years, and showing Gazprom can get what
Mail on July 12 that Global Affairs Canada had it wants, is a dangerous precedent,” she said in
granted Siemens an exemption under Canada’s an interview on July 12. “They are stamping the
Russia sanctions for two years. One of the offi- status quo on weaponising energy.” Ukrainian
cials noted, though, that Canada would be able advocacy group, the Ukrainian World Congress,
to revoke the exemption at any time. has filed a legal challenge to the government’s
Germany is currently on energy crisis “alert” decision in federal court. In the challenge, the
status, the middle of the EU’s three-tier warning group said that the permit was “unreasonable,
system, and is actively preparing for a possible unjustifiable and contrary to the stated purpose
halt to gas deliveries from Russia as it scrambles of Canada’s sanction regime.”
to refill gas storage tanks ahead of winter. Europe remains conflicted over imports on
Russia reduced flows of gas to Europe by Russian energy, on the one hand hoping to put
60% through the Nord Stream 1 gas pipeline the Russian budget under extreme pressure by
last month, citing technical difficulties as a result cutting off the imports, and on the other being
of Siemens’ failure to return the turbine that had heavily dependent on the import of Russian fuels
been sent off for repairs. This prompted Ger- to power many economies.
many and several other European countries to Kyiv has been calling on Europe to bite the
complain of cuts in their contractual Russian bullet and completely cut off Russian oil and gas
gas flows. The pipeline is offline anyway now for imports.
scheduled annual maintenance, which Gazprom Ukrainian Energy Minister German Galush-
has said will last until July 21. chenko in June lobbied Canada not to return the
The turbine in question is currently stranded turbine to the Russian natural gas giant, accord-
in Montreal as a result of sanctions. According ing to a letter seen by Reuters.
to the Moscow-based Kommersant newspaper, “There are seven turbines, this is only one
even with the sanction’s exemption now in place, of them, and those that are now operating are
the unit will not get shipped to Europe until July sufficient for full capacity,” the energy ministry
14. It will be transported first to Germany, and source said.
then to Russia – a journey which is anticipated Ukraine has accused Moscow of using nat-
to take at least two weeks. A few more days will ural gas supplies as a weapon to put pressure on
be needed to install the turbine at the Portovaya Kyiv’s European allies to dampen their support
compressor station that handles Nord Stream’s for Ukraine as it fends off Russia’s February 24
gas. invasion.
This means that even if Nord Stream 1 comes
back on stream on July 21, its capacity will End of coal imports
remain constrained for the rest of the month. Berlin took another step closer to completely
A further five Nord Stream turbines are due ending its dependence on Russia’s hydrocarbons
to be sent off to Siemens Canada for repairs over on July 13, announcing that it would end all coal
the next two years. imports on August 1 and the import of oil and
However, Gazprom’s statement will only gas by the end of this year.
stoke fears that it will take even longer to increase “We will be off Russian coal in a few weeks,”
the gas flows through Nord Stream, as many are Joerg Kukies, state secretary in the German
afraid the Kremlin is simply looking for excuses federal chancellery, said at the Sydney Energy
to reduce those flows to put pressure on Europe Forum, co-hosted by the Australian government
ahead of the heating season. Nord Stream 1 went and the International Energy Agency (IEA),
offline on July 11 for its annual 10 days of mainte- reported Reuters.
nance work, but if it is not restarted, or restarted Russian previously supplied 40% of Germa-
at even lower gas flows, Europe could be facing a ny’s coal and 40% of its oil, he said.
major energy crisis at the end of summer. “Anyone who knows the history of the Dru-
zhba pipeline, which was already a tool of the
Ukraine lobbies against gas imports Soviet empire over eastern Europe, ridding your-
The status of the equipment remains up in the self of that dependence is not a trivial matter, but
air. Approached by the Globe and Mail, Siemens it is one that we will achieve in a few months,”
Energy spokesperson Ann Adair said the com- Kukies said.
pany had no comment to make on the sanctions A ban on coal imports to Europe was part of
exemption. The press secretary to Canadian For- the fifth package of sanctions introduced earlier
eign Affairs Minister Melanie Joly could neither this year and the first time that Russian energy
confirm or deny the two-year timeframe, but exports were targeted. However, even banning
said “these turbines follow a regular mainte- coal imports proved controversial, and several
nance schedule, which was passed due to sanc- EU members resisted the sanctions in an effort
tions.” “The maintenance schedule now restarts to protect their economic interests. ™

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