“Not only harm to Nord Stream 2”: Nord Stream 2 AG will challenge the amendments to the EU Gas Directive in court

The company operating the construction of the Russian gas pipeline "Nord Stream - 2" Nord Stream 2 AG appealed to the European Court with a request to cancel the amendments to the EU Gas Directive. This is stated on the website of the organization.

“As a prudent investor, we intend to protect our investments. However, the amendments to the Gas Directive harm not only the Nord Stream 2. Such obvious discrimination of a separate commercial project also undermines the ability of the EU internal market to attract investment, in order to make the transition to “low carbon” energy a reality, ”the company quoted Executive Director Matthias Warnig as saying.

Recall, the amendments to the EU Gas Directive were adopted in April. They apply to offshore gas pipelines the requirements that apply to onshore pipelines. Among such measures are anbanding (companies are prohibited from simultaneously extracting gas and owning a gas pipeline), access by other companies to 50% of trunk capacity, non-discriminatory tariffs and transparency.

At the same time, Germany managed to mitigate these amendments - exceptions to these requirements could be made for gas pipelines. The relevant decision can be taken by the country in which the pipeline enters the territory of the European Union. In the case of Nord Stream 2, this country will be Germany.

Nord Stream 2 AG is confident that the amendments to the Gas Directive were adopted precisely against the Nord Stream-2 gas pipeline, in order to “create unfavorable and hindering project implementation conditions”.

The company also reminded that they can continue to assert their rights in the framework of arbitration against the European Union. So, on April 12, Nord Stream 2 AG initiated a three-month consultation period before the start of the process itself, during which the parties should strive for a settlement. We are talking about guarantees of investment protection under the Energy Charter Treaty (ECT).

“On June 25, a meeting was held between the European Commission and Nord Stream 2 with a view to an out-of-court settlement in accordance with the ECT rules. No peace settlement has been achieved until today, although the three-month consultation period has already expired, ”stressed Nord Stream 2 AG.

“These are sanctions, just Europeans are afraid to call them that”

Regardless of how this appeal to the court turns out, it is unlikely that this will affect the implementation of Nord Stream 2, said international lawyer, honorary lawyer of Russia Valery Vanin.

“The fact is that judicial procedures in Europe are much longer than in Russia. The trial can last for years, and the project needs to be completed in this, maximum next year, ”he told RT.

By adopting these amendments, the European Union intended to expand control over gas supplies, and the energy security considerations provided by the Gas Directive served as an excuse for this, the lawyer said.

“The conditions adopted by this amendment refer to the EU directive as beautiful words. In essence, this is an attempt to regulate business processes that are associated with the supply of gas to Europe, ”Vanin added.

At the same time, in fact, these amendments affect only the “Nord Stream - 2”, Igor Yushkov, a leading expert of the National Energy Security Foundation, stressed in a conversation with RT.

“The distribution to offshore gas pipelines actually concerns only one project. These are de facto sanctions, it’s just that Europeans are afraid to call them that and give it away for changing their legislation. There can be no competition at sea, ”he told RT.

Yushkov recalled that the Gas Directive was supposed to fight monopolies and develop competition, but they would not be able to fulfill this task.

“This restriction is introduced after an investment decision was made and funds were invested in the construction of Nord Stream 2,” it turns out that investors come and invest their money, then the EU does something that changes the project’s economy, ”the expert said . - It appears undermining the investment climate. There are well-grounded claims to these amendments. ”

At the same time, Yushkov admitted that the lawsuit was filed in order for the European Union to take a more constructive position in the negotiations on the “Nord Stream — 2”

From the point of view of Russia, the extension of the Gas Directive to the Nord Stream - 2 violation of the principle of investor protection. About this in an interview with the German newspaper Rheinische Post, said Russian Foreign Minister Sergei Lavrov.

“The perplexity of persistent attempts by certain forces to“ put sticks in the wheels ”, to hinder the implementation of the project, is puzzling. This is how we regard the amendments to the “Gas Directive” of the Third Energy Package of the European Union, which came into force on May 23, in fact violating the fundamental principle of protecting investors from changes in the legislation of the host country, ”he said.

Nevertheless, the construction of the gas pipeline is proceeding according to schedule, Lavrov noted. He said that about 60% of all pipes were laid, and the capital costs of the project were financed by more than 80%.