The German regulator has temporarily suspended the certification procedure for the Nord Stream 2 gas pipeline, reports the German Federal Network Agency.
After a detailed study of documents, the Federal Network Agency concluded that certification of the Nord Stream 2 pipeline operator is possible only if the operator was organized in the legal form according to the laws of Germany.
Nord Stream 2 AG, headquartered in Switzerland, decided not to transform the existing company, but to establish a subsidiary under German law for the German part of the line only. This subsidiary will own and operate the German section of the pipeline. The subsidiary itself would then have to comply with the requirements of the Energy Act for an independent transmission network operator.
The certification process is suspended until the subsidiary’s main assets and human resources transfer has been completed. The Federal Network Agency can verify the subsidiary’s new documents as a new applicant. If the requirements are met, the Federal Grid Agency can continue its review during the remaining four-month legal period, prepare a draft decision and send it to the European Commission for comment.
This year, the gas prices in Europe have broken every possible record. The hitherto unseen rush on the gas market is taking place against the background of disputes within the European Union over the certification and launch of Russia’s Nord Stream 2 gas pipeline. And this is no coincidence, experts say.