Putin Says Can Ship More Gas to EU Once Nord Stream 2 Approved
Putin Says Can Ship More Gas to EU Once Nord Stream 2 Approved
(Bloomberg) -- Russia is able to start gas deliveries via the controversial Nord Stream 2 link immediately after it gets regulatory approval, according to Vladimir Putin.
“The first pipe of Nord Stream 2 is filled with gas. If the German regulator allows supplies tomorrow, deliveries will begin the day after tomorrow,” the Russian president said at the annual Kremlin-backed Valdai Discussion Club meeting in Sochi Thursday. The second of the route’s two lines could be ready in December, he said.
Extra gas flows from Russia could help to ease the current energy crunch in Europe, where surging fuel costs have caused increasing economic havoc. So far, Russia hasn’t sent any significant additional gas volumes to the region’s spot market, citing the need to prioritize filling domestic storage ahead of winter.
Putin said extra supplies via Nord Stream 2 could make a significant dent in Europe’s gas shortfall. The first line could deliver 17.5 billion cubic meters of gas once approved, he said, without specifying a time period. Combined annual capacity of both lines is 55 billion cubic meters.
His figures appeared well above Gazprom’s earlier estimates that it could ship 5.6 billion cubic meters through Nord Stream 2 this year, without specifying whether that would be on top of planned deliveries via existing routes. The company has so far stuck to its conservative estimate of total full-year gas supplies to Europe and Turkey at 183 billion cubic meters.
In the past, Putin has denied limiting supplies to Europe to force approval of Nord Stream 2, which has met opposition from the U.S. as well as European Union members. But according to people close to the Kremlin and state-run gas giant Gazprom PJSC, Russia wants to see approval for the pipeline granted before boosting shipments.
German regulators are currently reviewing the application of Nord Stream 2 AG for certification as an independent operator, but have said their initial decision could come only in January, after which the European Commission would also have to give the go-ahead.
©2021 Bloomberg L.P.