The controversial Nord Stream 2 gas pipeline project, which was set to start pumping 55 billion cubic metres of gas between Russia and Germany by the end of the year, has hit a setback after Denmark's Energy Agency (DEA) requested the company carry out an environmental impact assessment of an alternative southern route to the south of the island of Bornholm.
Nord Stream 2
Photo: Nord Stream 2
Environmental concerns on the Danish island of Bornholm, between Poland and Sweden, have led the DEA to hold back on issuing a permit for the construction of the pipeline. Nord Stream 2, owned by Russian energy giant Gazprom, has proposed two routes; one to the north of the island and one to the south, but now Copenhagen is requesting the company carries out an assessment of a potential third route, further to the south closer towards Polish territory.
“We think a route going more south would be more optimal,” said Ture Falbe-Hansen, spokesman for the Danish Energy Agency. He added that safety and environmental issues were the main considerations for the request.
An assessment along this route would require consultation involving several countries including Poland. Warsaw has been heavily opposed to the construction of Nord Stream 2 since the project began.
In a leaked letter to the management board, obtained by Poland's BiznesAlert, Matthias Warnig, Nord Stream 2 CEO, warned that the Danish request could lead to years of delays. “This proceeding will already take several months and can be taken to appeal again — two possible court proceedings. All in all it may take years. During such proceedings, the DEA could put a parallel southern route application on hold.”
Nord Stream 2 has made no comment on the leaked letter from Warnig.
Denmark is the only country that has not yet agreed on a draft route for the pipeline. Permits have been granted by all other jurisdictions through which the future pipeline would pass: Russia, Germany, Finland and Sweden.
Not only has the Danish decision undermined Gazprom's hopes to start pumping gas by the end of 2019, it further complicates ongoing negotiations between the European Commission and Russia on gas transit through Ukraine. The current transit permit expires at the end of the year and Moscow has been wary of continuing to send large volumes of gas across the country. A delay to the undersea pipeline could see Moscow's hand forced and continue its reliance on Ukrainian transit.
Nearly 1,000 km of pipeline has already been laid out of a total of over 1,200 km. The terminals in Vyborg, Russia, and Lubmin, Germany, are close to completion.
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