US and Germany have Nord Stream 2 deal, but lack authority to implement it

“A day after the U.S. and Germany announced a deal allowing the completion of the controversial Nord Stream 2 gas pipeline, top officials conceded that neither the White House nor the Chancellery have the authority to implement some of its most crucial components.

As a huge outcry went up from opponents of the Russia-led pipeline project, Chancellor Angela Merkel acknowledged that her agreement with President Joe Biden hardly settled their political disagreements, and that much remained uncertain.

“The agreement with the U.S. government does not cement the differences, but it does not overcome all differences either,” Merkel said at a news conference. “The differences remain.” Of the deal, she added: “It is an attempt between the U.S. government and us to set certain conditions that also have to be implemented.

“I am glad that we have succeeded so far,” Merkel continued. “And we also have a lot of tasks ahead.”

Those tasks are hardly small and include overcoming fierce opposition from some members of the United States Congress, persuading some extremely dubious EU countries to get on board, and convincing Russia to liberalize its energy sector, divest itself of the €9.5 billion pipeline, and pay Ukraine some additional €20 billion through 2034 to make up for the loss of gas transit fees — which the new pipeline would effectively render unnecessary.

While some influential Germans — notably former chancellor and current Nord Stream 2 chairman of the board Gerhard Schröder — have been instrumental in securing the pipeline’s completion, Berlin may have little to no influence over Moscow once construction is done and gas is flowing.

U.S. Senator Jeanne Shaheen, a Democrat on the foreign relations committee who co-authored U.S. sanctions legislation targeting the pipeline, said she was “skeptical” of the deal given that “the key player at the table — Russia — refuses to play by the rules.””

https://www.politico.eu/article/us-and-germany-have-nord-stream-2-pipeline-deal-but-lack-authority-to-implement-it/

Leave a Reply

Your email address will not be published. Required fields are marked *