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Gazprom’s Nord Stream 2 can challenge EU rules, EU court adviser says

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A street signal directs visitors in direction of the Nord Stream 2 fuel line landfall facility entrance in Lubmin, Germany, September 10, 2020. REUTERS/Hannibal Hanschke/File Picture

BERLIN, Oct 6 (Reuters) – Gazprom’s Swiss unit can problem an EU fuel rule that requires fuel producers to be separate firms from those who management the pipeline, an adviser to the EU’s high court docket stated on Wednesday.

Russia’s Gazprom owns operator Nord Stream 2 and is the deliberate fuel provider for the Russia-to-Germany hyperlink that was accomplished final month.

The opinion from Advocate Normal Michal Bobek, if confirmed by the EU Courtroom of Justice (CJEU), could assist the Russian firm in its long-running combat with the bloc.

It will give Nord Stream 2 one other avenue in its to extend its fuel gross sales to Germany. The problem is vital as Europe faces surging fuel costs.

The EU Fuel Directive goals to make sure honest competitors available in the market and to forestall firms from obstructing rivals’ entry to infrastructure.

“Nord Stream 2 AG can problem earlier than the EU Courts the directive extending the scope of the Fuel Directive to pipelines connecting the EU with third international locations,” Bobek stated.

“The adoption of the directive altered the authorized place of Nord Stream 2 AG, which, as well as, was the one firm truly affected by that authorized act.”

The CJEU, which follows such non-binding opinions in 4 out of 5 circumstances, will rule within the coming months.

The Nord Stream 2 operator stated the EU rule, amended in 2019 was geared toward halting the pipeline. A lower-tier court docket final 12 months by the operators of Nord Stream 1 and Nord Stream 2 towards the rule.

Russia on Wednesday stated it had not contributed to surging pure fuel costs in Europe, the place demand restoration, low storage ranges and fewer provide to the spot market have all performed into an power market disaster.

The case is C-348/20 P Nord Stream 2 AG v Parliament and Council.

Reporting by Maria Sheahan, extra reporting by Gleb Stolyarov in Moscow; enhancing by Thomas Escritt and Barbara Lewis

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