Long delays expected: Federal Network Agency suspends certification for Nord Stream 2 for the time being

The Federal Network Agency has temporarily suspended its certification process for Nord Stream 2.

The regulator announced on Tuesday.

The line may not be put into operation without certification.

This means there will be a significant delay in the controversial pipeline project.

The reason is that the operating company for the pipeline founded by the consortium behind Nord Stream 2 is based in Switzerland. According to the Federal Network Agency, an operator of the line can only be certified if the operator is organized in a legal form under German law. Nord Stream 2 AG decided not to convert the existing company, but to found a subsidiary under German law only for the German part of the line, according to the Federal Network Agency.

This subsidiary is to become the owner and operate the German section of the pipeline.

Before the company can be certified, however, the essential assets and personnel would first have to be transferred to it, the authority said.

Until that has been completed, the certification process will remain suspended.

Only then could the Federal Network Agency check the subsidiary's newly submitted documents for completeness.