A unified Europe is essential to its energy security, forum told

May 24, 2018
European governments must resist letting controversial proposed projects such as the Nord Stream 2 natural gas pipeline keep them from developing a unified strategy to prevent Russian energy interventions, speakers agreed at a May 24 Atlantic Council forum. 

European governments must resist letting controversial proposed projects such as the Nord Stream 2 natural gas pipeline keep them from developing a unified strategy to prevent Russian energy interventions, speakers agreed at a May 24 Atlantic Council forum. “This requires a European solution, not just for Nord Stream 2 but also for Turk Stream and other energy projects which have built-in extra capacity,” said Sandra Oudkirk, deputy assistant Energy secretary at the US Department of State.

The US and Europe’s general and energy security are intertwined, a second speaker suggested. “The Southern Gas Corridor probably wouldn’t have happened without US support,” said Brenda Shaffer, an adjunct professor at Georgetown University’s Center for Eurasian, Russian, and East European Studies, and a senior fellow at the AC’s Global Energy Center.

“Russia is trying to get more involved in midstream natural gas operations across Europe. It’s essential that all of Europe oppose Russia’s energy intervention,” Shaffer said. “In terms of unity, Europe and the US need to work on Iran sanctions and other issues, not just Nord Stream 2.”

Piotr Naimski, secretary of State in the Chancellery of Poland’s Prime Minister and Government Plenipotentiary for Strategic Energy Infrastructure, said, “Security is like independence. It needs to be indivisible. Governments need to enforce this.”

He said, “The solution to this problem lies in Berlin and Washington. I think Germany would pay an enormous price if it goes for [the Nord Stream 2 project] because it threatens European unity, which the US says it strongly supports.”

Edward Chow, a senior fellow at the Center for Strategic & International Studies’ Energy & National Security Program, said, “If the US objective is to punish Russia, there are easier methods. Opposition to Nord Stream 2 has become symbolic. I think the US would still oppose it, but the question is how much political capital it would cost.”

Chow pointed out that most of the forum’s discussion emphasized Europe’s reliance on imported Russian gas while it is equally dependent on Russian crude oil. European state and private companies refine crude and distribute its products, however, but its gas transportation and distribution systems are interconnected, Chow said. “It’s important to remember that Europe depends on Russia for about 30% of its gas, but Russia relies on Europe to buy 70% of its gas exports,” he said.

Reinhard Buetikofer, a European Parliament member who comes from Germany’s Green Party, said his apprehension about Nord Stream 2’s potential impact is not environmental. “We’re concerned that this project will destabilize Ukraine, divide the European Union, and give the Russians more excuses to militarize the Baltic Sea. It runs counter to European energy policy,” he said.

Buetikofer told the forum that a majority of German’s conservatives and businesses favor Nord Stream 2, and German Chancellor Angela Merkel is staying away from taking a stand because she considers it a business matter. “But it has manifested political implications. I think the German government’s argument that it’s a business proposition isn’t credible,” Buetikofer said.

“The [European Commission] is in a tough spot because it waited too long. About $12 billion has been invested in [Nord Stream 2] so far, but it’s not too late. The European Court of Justice probably will play a role ultimately. But if it intervenes after Nord Stream 2 is built, it will be like trying to un-beat an omelet,” Buetikofer said.

Other speakers called on the EC and governments to enforce existing laws. “I think many people believe Nord Stream is inevitable, but there are still levers that Europe can pull to stop it,” said Oudkirk. “Now is the time for Europe to do this before it’s too late.”

Contact Nick Snow at [email protected].