Page 6 - FSUOGM Week 37 2021

FSUOGM COMMENTARY FSUOGM

Gazprom announces Nord

Stream 2's completion

When the pipeline starts flowing gas will depend on the decision of German regulators

EUROPE CONSTRUCTION of the Nord Stream 2 in Denmark in 2019, and sanctions that the US
gas pipeline is now fully complete, Gazprom imposed at the end of that year that forced Swiss
WHAT: announced in a brief message on September 10, pipelayer Allseas to pull out of the project. Russia
Nord Stream 2 is although how soon it will start pumping Siberian responded by deploying its own pipelaying ves-
complete, but it needs gas to Europe is still shrouded in uncertainty. In a sels to finish the job.
certification from German briefing on September 8, Russian Foreign Minis- Uncertainty about when Nord Stream 2 will
regulators. try spokeswoman Maria Zakharova said the tim- start bringing Siberian gas to Germany comes
ing of the launch all depended on the decision of as European gas prices are at record highs,
WHY: German regulators. amid supply constraints and a post-coronavirus
Gazprom has applied for Russia is putting pressure on German regula- (COVID-19) recovery in demand.
the operating company tors to get the Nord Stream 2 operating company "It is now clear to everyone, including oppo-
to be certified as an certified as an independent operator, which is a nents of Nord Stream 2 that desperately opposed
independent operator, but necessary step for the pipeline to start pump- its construction, that it is simply impossible to
EU rules might make this ing gas. But under an EU court ruling, which stop it and it is time to stop hampering this
difficult. Gazprom recently failed to get overturned in important project," Zakharova said. "The time
a German court, doing so would violate the has come to agree on reasonable, mutually ben-
WHAT NEXT: bloc's rules on the unbundling of gas transport eficial parameters for the operation of the gas
Nord Stream 2's infrastructure from supply. This could mean pipeline."
launch could help Gazprom has to spin off Nord Stream 2, which "We expect that millions of European con-
ease shortages on the would likely result in delays that would prevent sumers will soon be able to receive Russian gas
European gas market. the pipeline coming on stream this year as Russia via the shortest, most economical and environ-
hopes. mentally friendly route," she continued. "The
Gazprom had hoped to complete Nord carbon footprint of gas transportation through
Stream 2 before the end of 2019. The pipeline's Nord Stream 2 is more than five times lower in
construction was held up by permitting delays comparison to alternative routes. This is known."

P6 www. NEWSBASE .com Week 37 15•September•2021