Nord Stream 2 certification put on hold, gas prices soar

by Alexander Query November 16, 2021 9:56 PM 1 min read

The Nord Strem 2 pipe laying vessel Audacia seen on Nov. 8, 2018, close to Ruegen island, Germany. (Axel Schmidt)

This audio is created with AI assistance

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Germany’s energy regulator announced on Nov. 16 that it had temporarily suspended the pipeline’s certification process, which would allow it to start operating when approved. The regulator said that Russian gas monopoly Gazprom had not yet set up an operating subsidiary that complied with German law.

Following the news, European gas futures soared by over 14%.

U.K. Prime Minister Boris Johnson warned on Nov. 15 that the West must soon choose between reliance on Russian gas and supporting Ukraine.

Nord Stream 2 is an undersea gas pipeline from Russia to Germany that bypasses Ukraine. Upon its launch, Ukraine may lose up to $2 billion in annual transit fees as well as a deterrent against increased Russian aggression.

Author: Alexander Query

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