Brussels, 01/10/2015 (Agence Europe) - In a guidance paper adopted on Wednesday 30 September, the EPP Group in the European Parliament makes clear its reservations on the two new gas pipeline projects between Russia and the EU - Nord Stream 2 in the north and Turkish Stream in the south.
“We support the abandonment of the South Stream project and are against its new reiteration in the form of the so-called Turkish Stream project, because it would only reinforce existing dependency (Ed: on the same supplier) and is contrary to the EU diversification principle”, states the EPP in the document, a copy of which was obtained by EUROPE prior to publication.
The EPP considers that Nord Stream 2 agreement, a project doubling the capacity of the North Stream pipeline, “is not in line with the EU strategy of diversification of the sources of supply and routes of transit of imported energy, reinforcing the EU's dependency on Russian gas supply”. The group calls, therefore, on the Commission and the External Action Service to “thoroughly assess” the compatibility of the Nord Stream 2 project and to ensure that all relevant EU legislation is fully respected.
In the wake of the withdrawal of its South Stream project, Russian gas company Gazprom signed a memorandum of understanding with Turkish gas company Botas in December 2014 for the construction of an alternative gas pipeline - Turkish Stream - which is intended to supply 16 billion cubic metres of gas per year to Turkey and to deliver 47 billion cubic metres of gas per year to the Greek-Turkish border, for the European market.
Gazprom also signed a shareholders' agreement with five European partners on 4 September to build the Nord Stream 2 project. This aims to link Russia to the European market across the Baltic Sea via two new gas pipelines so as to double the capacity of the Nord Stream pipeline (in service since 2012), bringing it up to 55 billion cubic metres per year. Gazprom will lead this project, which also includes the energy companies E.ON and BASF-Wintershall from Germany, OMV from Austria, and British-Dutch company Royal Dutch Shell (10% of shares each), and ENGIE from France (9% of shares).
The Commission has called for clarification from Russia on these two projects, notably at the bilateral meeting between Commissioner in charge of Energy Union Maros Sefcovic and Russian Energy Minister Alexander Novak on 11 September (see EUROPE 11387).
Massimiliano Salini advocates relaunch of South Stream. In a press release published by the EPP Group on 30 September, Italian MEP Massimiliano Salini (Forza Italia) recommends that, alongside the Nord Stream 2 project, which will be of benefit above all to Germany, infrastructure of critical importance to Southern Europe be built, and he suggests relaunching the South Stream project.
Doubling North Stream capacity means Germany will be supplied with Russian gas without having to face any transit problems, he says, adding that this would be a victory for Europe only if that project is realised in parallel with the relaunch of South Stream, which was blocked by the EU institutions in the previous term of office. Otherwise, he argues, the reality will be an attempt by Germany to build its own gas pipeline, that is, a fast track for its energy supply.
It is understandable that Germany is keen on this kind of project, he acknowledges, before noting that the EU set itself the objective of not increasing energy dependence on Russia, which currently provides 53% of European gas consumption. If Germany wants “its” pipeline, Salini says, it has to ensure that critical infrastructure for Southern Europe does not remain a hollow promise. South Stream, he argues, could be that critical infrastructure but it became bogged down in the dispute over where the gas pipelines should run in Europe and also because of EU sanctions against Russia.
Salini says that Europe must seize the opportunity of Russia's increasing disillusionment with its partnership with China and the fresh international commitment it is showing in the fight against Islamic terrorism and bring an end as speedily as possible to the sanctions that are hurting the EU's economic interests. Italy must now make sure that, in terms of energy provision, the countries of the south of the EU receive equal treatment with Germany, he said. (Original version in French by Emmanuel Hagry)