Thursday, July 18, 2019

"Is This The Last Bottleneck For Nord Stream 2?"

From OilPrice:
Large energy projects tend to be controversial due to environmental and political reasons. Nord Stream 2 (NS2) is not an exception as it is, arguably, the most contentious energy pipeline currently under construction in Europe. According to the critics of NS2, Europe is increasing its dependence on Russian gas, which would give Moscow unwanted influence in European capitals.

Opposition has been growing since the laying of pipes started. The U.S. has found allies in several Eastern European countries who fear Moscow's intentions due to historical reasons. Regardless of the efforts to thwart the construction of NS2, contractors have continued their work to complete the pipeline before the end of this year. Nord Stream AG, the company responsible for the project, has received permits from all littoral states of the Baltic Sea except for Denmark. Recently, the company made an important decision to end the political stalemate and prevent delays.

Bypassing Danish politics
According to former German Chancellor Gerhard Schroeder, Denmark is the biggest threat for delays concerning the construction of NS2 due to American pressure.

Nord Stream AG intended to construct the pipeline along the route of the original Nord Stream pipeline to reduce costs. The first application for construction activities in Denmark’s territorial waters was submitted in April 2017 and was based on the Danish authority’s guidance. In January 2018 the amended ‘Danish Continental Shelf Act’ went into force which gives the Minister of Foreign Affairs the right to veto infrastructure projects on political grounds when passing through its territorial waters.


If interested we have quite a few posts on the project and the politics.