LOBBYING FOR NORD STREAM 2

The 1,220-kilometer Nord Stream 2 gas pipeline, with a total capacity of 55 billion cubic meters a year, will provide a direct link between reliable Russian gas reserves and European gas consumers from the coast of Russia via the Baltic Sea to Greifswald, Germany. Construction work will begin in 2018 and will be completed by the end of 2019.

Nord Stream 2 is a planned pipeline through the Baltic Sea, which will transport natural gas over 1,200 km from the world’s largest gas reserves in Russia via the most efficient route to consumers in Europe. Nord Stream 2 will largely follow the route and design of the successful Nord Stream pipeline. With Europe’s domestic gas production projected to halve in the next 20 years, Nord Stream 2’s twin pipeline system will help Europe to meet its future gas import needs, with the capacity to transport 55 billion cubic metres of gas per year, enough to supply 26 million European households. This secure supply of natural gas with its low CO2 emissions will also contribute to Europe’s objective to have a more climate-friendly energy mix with gas substituting for coal in power generation and providing back-up for intermittent renewable sources of energy such as wind and solar power. 

Project Sponsors

ENGIE: ENGIE develops its businesses (power, natural gas, energy services) around a model based on responsible growth to take on the major challenges of energy’s transition to a low-carbon economy: access to sustainable energy, climate-change mitigation and adaptation and the rational use of resources. The Group provides individuals, cities and businesses with highly efficient and innovative solutions largely based on its expertise in four key sectors: renewable energy, energy efficiency, liquefied natural gas and digital technology. ENGIE employs 153,090 people worldwide and achieved revenues of €66.6 billion in 2016.

OMV Aktiengesellschaft: OMV is producing and marketing oil & gas, innovative energy and high-end petrochemical solutions – in a responsible way. With Group sales of EUR 19 bn and a workforce of around 22,500 employees in 2016, OMV Aktiengesellschaft is one of Austria’s largest listed industrial companies. In Upstream OMV has a strong base in Romania and Austria along with a well-balanced international portfolio. Daily production stood at approx. 315,000 boe/d in 2016. In Downstream OMV has an annual refining capacity of 17.8 mn tonnes and around 3,800 filling stations in ten countries (including Turkey) as of the end of 2016. OMV operates a gas pipeline network in Austria and gas storage facilities in Austria and Germany. In 2016 gas sales volumes amounted to around 110 TWh.

Shell: Royal Dutch Shell plc is incorporated in England and Wales, has its headquarters in The Hague and is listed on the London, Amsterdam, and New York stock exchanges.  Shell companies have operations in more than 70 countries and territories with businesses including oil and gas exploration and production; production and marketing of liquefied natural gas and gas to liquids; manufacturing, marketing and shipping of oil products and chemicals and renewable energy projects.

Uniper: Uniper is a leading international energy company with operations in more than 40 countries and around 13,000 employees. Uniper’s business is to provide a reliable supply of energy and related services. Its main operations include power generation in Europe and Russia and global energy trading. Its headquarters are in Düsseldorf, Germany.

Wintershall Holding GmbH: Wintershall Holding GmbH, based in Kassel, Germany, is a wholly-owned subsidiary of BASF in Ludwigshafen. The company has been active in the extraction of natural resources for 120 years, and in the exploration and production of crude oil and natural gas for over 85 years. Wintershall focuses on selected core regions where the company has built up a high level of regional and technological expertise. These are Europe, Russia, North Africa, South America, and increasingly the Middle East region. The company wants to expand its business further with exploration and production, selected partnerships, innovation and technological competence. Wintershall employs about 2.000 staff worldwide from 50 nations and is now Germany’s largest, internationally active crude oil and natural gas producer.
Wintershall. Shaping the future.

Economic points

• EU cannot simultaneously pursue all three energy objectives – supply security, affordability, sustainability – without sufficient gas supply
• Western European gas production is depleting, while consumption remains stable: additional infrastructure is needed to address the upcoming EU import gap
• Nord Stream 2 supports a competitive and integrated internal energy market

Legal points

• Nord Stream 2 must be regulated like all comparable pipelines in Europe: no political exceptions in favor of or against Nord Stream 2
• Nord Stream 2 complies with EU law, international conventions and national legislation

Political points

• The EU and Russia are neighbours and must cooperate. This is ever more important during uncertain political times. Where would we cooperate if not in energy?
• Nord Stream 2 presents an opportunity for long-term cooperation to the benefit of both sides, strictly based on EU standards