Home > All publications > News
22 July 2021, 09:39

Ukraine initiates consultations with European Commission and Germany on “Nord Stream-2”

Pursuant to Article 274 of the Association Agreement with the EU, Ukraine is officially initiating consultations with the European Commission and Germany on “Nord Stream-2” pipeline, which threatens Ukraine's security and violates the principles of diversification of the EU Energy Union. The Foreign Ministry has already sent relevant notes to Brussels and Berlin. The Minister of Foreign Affairs announced this on his Twitter.

In addition, Ukraine and Poland issued a joint statement on the Russian gas pipeline.

In it, Ukraine and Poland state that they will work with their allies and partners to counter the launch of “Nord Stream-2” until solutions are developed to overcome the security crisis, support countries in their aspirations to become members of Western democratic institutions, minimize threats to peace and energy security.

“The decision to build “Nord Stream-2”, approved in 2015 months after Russia's invasion and illegal annexation of Ukrainian territory, has created a political and security crisis and a crisis of trust in Europe,” the statement said. “Currently, this crisis is significantly exacerbated by the refusal to try to stop the gas pipeline completion. This decision created additional political, military and energy threats for Ukraine and Central Europe in general. At the same time, it increases Russia's ability to have a destructive effect on the security situation in Europe, and deepens differences between NATO and the EU member states.”

Ukraine and Poland note that any credible attempt to restore the balance of security in the region should take into account possible negative risks in three areas: political, military and energy. It shall also be democratic, providing for negotiations with the governments of the countries, which are the most affected by “Nord Stream-2” at the stage of negotiating the agreement.

The night before, Germany and the United States officially announced an agreement that the Russian gas pipeline would be completed. The joint declaration of the parties was issued. It states that the United States and Germany have steadfastly supported Ukraine's sovereignty, territorial integrity, independence, and European path: “Today, we are committed to resisting Russian aggression and criminal activity in Ukraine and abroad. The United States is committed to supporting Germany's and France's efforts to bring peace to Eastern Ukraine through the Normandy format. Germany will intensify its efforts under the Normandy format to facilitate the implementation of the Minsk agreements.”

The declaration states that the United States and Germany are united in their determination to hold Russia to account for its aggression and malign activities by imposing costs via sanctions and other tools: “The United States and the EU remain prepared, including with appropriate tools and mechanisms, to respond together to Russian aggression and malign activities, including Russian efforts to use energy as a weapon. Should Russia attempt to use energy as a weapon or commit further aggressive acts against Ukraine, Germany will take action at the national level and press for effective measures at the European level, including sanctions, to limit Russian export capabilities to Europe in the energy sector, including gas, and/or in other economically relevant sectors”.

The Parties state that they support the energy security of Ukraine and Central and Eastern Europe, including the key principles enshrined in the EU's Third Energy Package on diversity and security of supply. Germany emphasizes that it will adhere to both the letter and the spirit of the Third Energy Package on “Nord Stream-2”, which is under German jurisdiction. Germany also undertakes to use all available levers to facilitate the extension of Ukraine's gas transit agreement with Russia for up to 10 years, including the appointment of a special representative to support these negotiations, which should begin as soon as possible and no later than 1 September. The United States is committed to fully supporting these efforts.

Germany commits to establish and administer a Green Fund for Ukraine to support Ukraine s energy transition, energy efficiency, and energy security. “Germany and the United States will endeavor to promote and support investments of at least $1 billion in the Green Fund for Ukraine, including from third parties such as private-sector entities. Germany will provide an initial donation to the fund of at least $175 million and will work toward extending its commitments in the coming budget years. The fund will promote the use of renewable energy, facilitate the development of hydrogen, increase energy efficiency, accelerate the transition from coal and foster carbon neutrality,” the statement said. The United States plans to support this initiative with technical assistance and policy support.

In addition, Germany will continue to support bilateral energy projects with Ukraine, especially in the field of renewable energy and energy efficiency, as well as coal transition support, including the appointment of a special envoy with dedicated funding of $70 million. Germany is also ready to launch Ukraine Resilience Package to support Ukraine s energy security. This will include efforts to safeguard and increase the capacity for reverse flows of gas to Ukraine, with the aim of shielding Ukraine completely from potential future attempts by Russia to cut gas supplies to the country.

Ukraine and Poland declare in a joint statement that: “Unfortunately, the current proposals to fill the security gap that is emerging cannot be considered sufficient to effectively minimize the threats posed by “Nord Stream-2”. We call on the United States and Germany to respond adequately to the security crisis in our region, the only beneficiary of which is Russia,” the statement said.