Sunday

10th Dec 2023

Italian EU presidency backs South Stream

  • Bulgaria halted construction of South Stream following Russia's annexation of Crimea (Photo: south-stream-offshore.com)

The Italian EU presidency is in favour of a controversial Russian pipeline, South Stream, which would circumvent Ukraine to bring gas to south-east Europe.

"We think South Stream should go ahead, as it would improve the diversification of gas routes to Europe," Italy's state secretary for EU affairs Sandro Gozi said on Thursday (10 July) during a press event in Brussels.

Read and decide

Join EUobserver today

Become an expert on Europe

Get instant access to all articles — and 20 years of archives. 14-day free trial.

... or subscribe as a group

He echoed statements made by Italian foreign minister Federica Mogherini who visited Moscow on Wednesday and met with her Russian counterpart.

She said the pipeline was "very important for the energy security of our country, as well as that of the entire European area”, but stressed that the project should comply with EU law.

She also invited Russian leader Vladimir Putin to a meeting of Asian and European leaders in Milan in October.

Russian foreign minister Sergei Lavrov said during that Mogherini press conference that Italy and Russia "confirm our goal on completing the construction project of the South Stream gas pipeline ... and to continue active work in order to remove all issues that may arise, including in regard to the dialogue with the European Commission."

Work on the South Stream pipeline was halted in Bulgaria last month after the EU commission said it was in breach of the bloc's energy and public procurement laws.

Energy commissioner Gunther Oettinger said at the time that the ongoing Ukraine crisis has also made the EU wary of going ahead with the project.

South Stream would deprive Ukraine of transit revenues from the gas pipelines that cross its territory and bring about 80 percent of Russian gas exports to EU countries.

It would also enable it to cut off supplies to Ukraine to exert political pressure, without affecting its EU gas clients.

Michael Gonchar, a former executive at Ukraine’s gas distribution firm, Naftogaz, told EUobserver, that, together with Nord Stream, Russia’s recently-built pipeline to Germany, South Stream would give Moscow “a 100 percent monopoly on shipments of gas to Europe from the east”.

He added that it would make it less likely that the EU will ever build a gas pipeline to the Caspian Sea, the so-called Southern Corridor, to diversify supplies.

Elena Gerebizza from Counterbalance, an umbrella network of NGOs looking at the funding of EU projects, told this website that South Stream has little to do with real supply needs or energy security.

Italy's energy company ENI is involved in the construction of several segments of the pipeline via a subsidiary, she noted.

"There is a big interest from financial markets and other places [in South Stream] that have nothing to do with [EU] energy security," Gerebizza said.

For his part, Ukraine’s ambassador to the EU, Konstantin Yeliseyev, said the Union would be guilty of “double standards” if it pressed ahead with South Stream after signing a strategic trade treaty with Ukraine last month.

He called South Stream a “politically motivated project” and noted that Italy, as the current EU chairman, should take into account the views of EU countries who also oppose the Russian pipeline.

“The EU presidency should not put forward its national position, but the position of the EU as a whole. This project is not supported by all memeber states, so I have to ask the question whether Italy has co-ordinated its point of view with its other EU partners or not,” he said.

Spain's Nadia Calviño backed to be EIB's first female chief

With less than a month to go before the start of a new leadership of the European Investment Bank, the world's largest multilateral lender, the path seems finally clear for one of the candidates, Spanish finance minister Nadia Calviño.

Spain's Nadia Calviño backed to be EIB's first female chief

With less than a month to go before the start of a new leadership of the European Investment Bank, the world's largest multilateral lender, the path seems finally clear for one of the candidates, Spanish finance minister Nadia Calviño.

Analysis

Is there hope for the EU and eurozone?

While some strengths may have been overlooked recently, leading to a more pessimistic outlook on the EU and the euro area than the truly deserve, are there reasons for optimism?

Latest News

  1. How Moldova is trying to control tuberculosis
  2. Many problems to solve in Dubai — honesty about them is good
  3. Sudanese fleeing violence find no haven in Egypt or EU
  4. How should EU reform the humanitarian aid system?
  5. EU suggests visa-bans on Israeli settlers, following US example
  6. EU ministers prepare for all-night fiscal debate
  7. Spain's Nadia Calviño backed to be EIB's first female chief
  8. Is there hope for the EU and eurozone?

Stakeholders' Highlights

  1. Nordic Council of MinistersJoin the Nordic Food Systems Takeover at COP28
  2. Nordic Council of MinistersHow women and men are affected differently by climate policy
  3. Nordic Council of MinistersArtist Jessie Kleemann at Nordic pavilion during UN climate summit COP28
  4. Nordic Council of MinistersCOP28: Gathering Nordic and global experts to put food and health on the agenda
  5. Friedrich Naumann FoundationPoems of Liberty – Call for Submission “Human Rights in Inhume War”: 250€ honorary fee for selected poems
  6. World BankWorld Bank report: How to create a future where the rewards of technology benefit all levels of society?

Stakeholders' Highlights

  1. Georgia Ministry of Foreign AffairsThis autumn Europalia arts festival is all about GEORGIA!
  2. UNOPSFostering health system resilience in fragile and conflict-affected countries
  3. European Citizen's InitiativeThe European Commission launches the ‘ImagineEU’ competition for secondary school students in the EU.
  4. Nordic Council of MinistersThe Nordic Region is stepping up its efforts to reduce food waste
  5. UNOPSUNOPS begins works under EU-funded project to repair schools in Ukraine
  6. Georgia Ministry of Foreign AffairsGeorgia effectively prevents sanctions evasion against Russia – confirm EU, UK, USA

Join EUobserver

Support quality EU news

Join us