Commission to not cease Nord Stream 2 if pipeline complies with EU legislation

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Despite calls from the European Parliament to cease the Nord Stream-2 fuel pipeline from Russia to Germany, the mission is topic to nationwide legislation so the European Commission can not cease development of the pipeline so long as Gas Directive complies, DG Energy Director General Ditte Juul Jorgensen mentioned. She added, nevertheless, that the Russian-backed mission will not be supported by the European Union.

“Nord Stream-2 is not a project of common European interest. It does not contribute to achieving the targets we have set ourselves. This is a consideration under energy policy and the Commission has been clear in stating that,” Jorgensen instructed the members of the EU Parliament’s ITRE Committee throughout an change of views on February 23.

Regarding the authorized framework, she undermined that the Commission goal has all the time been to make it possible for ought to Nord Stream 2 come into operation, then it should function in a fashion that’s clear and non-discriminatory and it will need to have an acceptable diploma of regulatory oversight and it should in step with the ideas of each worldwide rules and European vitality legislation.

“In terms of the action regarding energy law it is been implemented enforced by the Commission, the European Union, and by member states through their national legislation, including the transposed Gas Directive in this case,” Jorgensen mentioned. She famous that because the Gas Directive entered into power in 2019, the Commission has had very clear rules in place by way of the applying of EU rules to all pipelines that hyperlink the EU or the European fuel market to 3rd international locations through these fuel pipelines. “The objective of the Gas Directive is to make sure that the market functions. We make sure that we avoid preferential action for some and make sure there is equal treatment,” she mentioned.

Ensuring compliance to EU vitality legislation

“Exactly a year ago tomorrow there was a legal deadline for member states to transpose the Gas Directive into national law,” the Commission’s DG Energy Director General mentioned.

She famous that Germany has transposed the Gas Directive into its nationwide authorized system and that’s, in fact, extremely related for Nord Stream 2 as a result of it’s the German nationwide regulator that may apply the German legislation in accessing Nord Stream 2 when it comes into operation underneath that authorized framework which is the Gas Directive in its transposition into German legislation.

“In this case it means that the German regulator, the Bundesnetzagentur, will be accessing a number of the key requirements of the Gas Directive and accessing if Nord Stream 2 lives up to these requirements. In particular the transmission system operator must be certified in being compliant with the unbundling requirements, so unbundling certification,” Jorgensen defined.

“The national regulatory authority has four months to take this decision. The Commission has the opportunity to issue an opinion and the national regulatory authority has two months to finalize a decision and must take utmost account of the Commission position. So again, you have a national decision but a clear European role and a clear obligation both for the national authority but also the transmission operators,” she mentioned. “The Bundesnetzagentur, the national regulator, has to take a number of other decisions as well under the transposed Gas Directive, it has to look at the security of supply, whether security of supply is at risk in relation to the project in question and again here the Commission has the possibility to issue an opinion and may do that in this point in time,” Jorgensen defined.

The third side the place there shall be a call taken once more by the nationwide regulatory authority is third social gathering entry rules the place there must be an approval of the related factors within the transmission system underneath the fuel regulation on this case and that is related for the tariff choices, Jorgensen mentioned. “And for the last two points third party access and tariff decisions there is no possibility for the Commission to give an opinion but, of course, the Commission will look at the national decisions taken to ensure that the national decisions are taken in full accordance with the European legal framework,” she mentioned.

Regarding US sanctions towards Nord Stream 2, Jorgensen additionally mentioned the Commission opposes third-countries sanctions towards EU corporations that conduct official enterprise throughout the EU.

Alignments with the EU Green Deal

“Here we are talking about a national decision, but we are also talking about a project that will not meet any European support or any European level investment. Again, it’s not a project of common European interest, it is not supported by the EU budget and will not receive support from the EU budget. The decision to invest here is for the companies in question and the national government in question. So, no support from the European level but as I said no legal tool under energy policy to address this question,” Jorgensen mentioned.

She burdened that fuel at present represents an essential a part of the EU vitality combine. In the long term this fuel shall be changed by a mixture of various sources together with hydrogen produced from renewable vitality or from inexperienced sources and power-to-X artificial fuels produced from renewables. She additionally clarified there’s no robust hyperlink between the H2 technique and Nord Stream 2 mission.

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