Page 9 - FSUOGM Week 34 2022

FSUOGM PIPELINES & TRANSPORT FSUOGM

Russia to shut down Nord Stream completely

for three days from August 31

EUROPE RUSSIA plans to close down the Nord Stream on August 19, who said the project should go
gas pipeline for three days between August 31 ahead so that the pipeline should be allowed to
Nord Streams capacity and September 2, in a move that will put further operate so “people do not have to freeze in win-
has been constrained strain on the European gas market. ter and that our industry does not suffer serious
since mid-June. The only working compressor unit at the damage.”
Portovaya compressor station on the Baltic Sea Nord Stream 2 is physically ready to operate,
shore that handles Nord Stream’s gas flow will be but it requires certification in order to flow gas
closed so that joint maintenance can be carried commercially. German Chancellor Olaf Scholz
out by specialists from Gazprom and Germa- called for the certification process to be halted
ny’s Siemens, the unit’s manufacturer. Once the on February 22, after Russia formally recog-
maintenance has been completed, gas flow will nised the breakaway east Ukrainian regions of
be restored to the current level of 33mn cubic Donetsk and Luhansk as independent, and just
metres per day, representing just above a mere two days before Moscow launched its all-out
20% of Nord Stream’s 55bn cubic metre per year assault on Ukraine.
overall capacity. Kubicki, a member of Finance Minister
Nord Stream’s capacity has been constrained Christian Lindner’s Free Democrats Party
since mid-June, when Gazprom initially cut flow (FDP), one of the three parties in Germany’s
to 67 mcm per year, citing Siemens’ failure gas ruling coalition, said the pipeline should be
turbine equipment as a result of Western sanc- activated “as soon as possible” to fill gas storage
tions. One turbine in particular was stuck for facilities ahead of winter. He said there was “no
some time in Canada, where it was undergoing sound reason not to open Nord Stream 2”, as
repair, until Canadian authorities provided an Germany was already getting Russian gas sup-
exemption to enable its return to Russia. How- ply from Nord Stream, and that getting “gas from
ever, the turbine remains stuck in a German Nord Stream 2 is no more immoral than from
port, with Gazprom claiming it needs further Nord Stream. It’s just a different pipe.”
assurances concerning Western sanctions to His comments drew criticism from sev-
enable it to be delivered to Russia and reinstalled eral other FDP members, however, including
at Portovaya. The German government contests Marie-Agnes Strack Zimmermann, the chair
this, however, claiming Gazprom is deliberately of the Bundestag’s defence committee, who
stalling on its return. responded by saying “Nord Stream 2 is dead.”
Germany’s government has vowed to end Ukrainian Foreign Minister Dmytro Kuleba
its dependency on Russian gas imports by also hit back, warning that “addiction to Rus-
mid-2024, and is advancing plans for a series sian gas kills.” However, his views are apparently
of LNG import terminals to achieve this. This not shared by much of the German electorate.
marks a significant U-turn in German policy, According to a Forsa survey, reported by Der
as mere weeks before Moscow’s invasion of Spiegel last week, two thirds of Germans would
Ukraine, the government remained in support have no problem with the country receiving gas
of the Nord Stream 2, which would have pro- from Nord Stream 2.
vided Germany with an additional 55 bcm per German gas storage facilities are now fairly
year of supply. full, at 78.9% of capacity as of August 20, but the
Faced with the risk of serious gas shortages high cost of energy imports is pushing a number
this winter, however, some German politicians of German energy utilities to the brink of bank-
are once again calling for the Nord Stream 2 pro- ruptcy, meaning the government may have to
ject to be unfrozen. The latest to do so was Wolf- step in and offer further bailouts as it did with
gang Kubicki, vice president of the Bundestag, Uniper earlier this year. ™

Week 34 24•August•2022 www. NEWSBASE .com P9