Nord Stream-2 Gas Pipeline will be bad for Germany and North Atlantic Treaty Organisation

14 July, 2018, 04:28 | Author: Sheila Harris
  • Firms invested in Russian pipeline project are at the risk of sanctions, warns US

The US State Department's spokeswoman earlier this year said that companies engaged in the construction and financing of Nord Stream 2 "could expose themselves to sanctions" and echoed Poland's warnings that the gas pipeline would undermine Europe's energy security and stability.

The Kremlin on Thursday rejected U.S. President Donald Trump's description of Germany as a "captive" of Russian Federation. That said, the works have been scheduled in close co-ordination with Nord Stream AG's upstream and downstream partners so that gas supply to European customers during that period is ensured via the alternative transportation route.

"I don't think it (Nord Stream 2) should have happened, and we have to talk to Germany about that", Trump said.

"We are supposed to be protecting you from Russian Federation, but why are you paying billions of dollars to Russian Federation for energy?"

And we stressed our well-known concerns about Nord Stream 2, Sefcovic said at a press conference on Thursday after the EU-U.S. Energy Council held in Brussels.

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Europe as a whole consumed about 425 billion cubic meters of natural gas a year ago, of which about 150 billion cubic meters came from Russian Federation.

U.S. President Donald Trump arrived Wednesday in Brussels to meet with North Atlantic Treaty Organisation representatives.

Most Eastern European countries have expressed their concern over the pipeline project over the years, claiming it directly threatens the security of their countries as Russian Federation will able to use its vast energy resources as a way to have leverage over Western Europe. Some European leaders, however, worry Nord Stream would strengthen Russian influence in the energy sector.

Lithuanian President Dalia Grybauskaite sided with Trump on Wednesday after his remarks, saying that she views the project "as geopolitical, politically motivated, having no economic justification and also binding hands for some European countries to pursue a free energy policy".

"Supplies of pipeline gas do not lead to dependence of one country on another but to complete mutual dependence".

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