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Czechs decide not to sign Nord Stream-2 opposition letter

Wed, 02nd Dec 2015 14:22

PRAGUE, Dec 2 (Reuters) - The Czech government decided onWednesday not to sign a letter to the European Union raisingconcern among central and southeastern European nations thatRussia's plans to extend its gas link to Germany could threatenthe region's energy security.

Industry minister Jan Mladek acknowledged the proposed Nord Stream-2 expansion could limit supply routes and energy securityof EU nations and hurt Ukraine but said the project should beviewed in wider context that could benefit the Czechs. CzechPrime Minister Bohuslav Sobotka has previously criticised theproposed Nord Stream expansion.

"Implementation of the project Nord Stream-2 should havesome positives for the Czech Republic," said Industry MinisterJan Mladek, who added the Czechs still supported Ukraine as atransit country.

"This could mean an increase in the current use of thedomestic transmission system, strengthening the position of theCzech Republic between major transit countries and minimizingthe risk of transferring a large extent the operating costs ofthe transmission system in prices for transport to domesticcustomers."

The Czech decision follows the Bulgarian prime ministersaying he would not sign and highlights the difficulty centraland southeastern European countries have in reaching consensuson how to loosen Russia's energy supply grip.

The proposed Nord Stream-2 expansion would double capacityto 110 billion cubic metres (bcm) per year along the routeRussia's Gazprom already ships gas to Europe. TheCzechs get a big part of their supplies from this direction.

Gazprom signed the deal with Germany's E.ON,BASF/Wintershall, Austria's OMV, ENGIE of France and Shell to expand the pipelinebypassing Ukraine and run under the Baltic Sea to Europe. (Reporting by Michael Kahn,; Editing by David Evans)

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