U.S., Germany Reach Deal On Controversial Nord Stream 2 Pipeline

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By Julianne Geiger

The United States and Germany reached a deal over the controversial Nord Stream 2 Pipeline, the U.S. State Department said on Wednesday, clearing the way for the completion of the Russian gas pipeline and handing Germany a decisive victory in the matter.

The State Department media note, titled, “Joint Statement of the United States and Germany on Support for Ukraine, European Energy Security, and our Climate Goals,” began with Germany and the United States’ steadfast “support for Ukraine’s sovereignty, territorial integrity, independence, and chosen European path.”

The note also spoke of “Russian aggression and malign activities in Ukraine and beyond.”

Nevertheless, the United States a deal that will allow Germany to receive direct natural gas shipments from Russia through the Nord Stream 2 pipeline at volumes twice the current amount.

In the end, it would appear that Germany and Russia got precisely what they wanted.

Ukraine, however, will be cut out of the loop when it comes to the extra natural gas shipments that will flow through Nord Stream 2 to Germany.

Part of the agreement is Germany’s commitment to help Ukraine in negotiating an extension to its current transit agreement with Russia. As it stands now, this is set to expire in 2024. Germany also will commit $175 million to a “green fund” for Ukraine in order to support renewable energy projects, and another $70 million to help Ukraine with its energy security.

The agreement was largely expected, although the details were unknown up until this afternoon.

Germany’s need for more natural gas from Russia is great, as the country works to shut down coal-fired and nuclear plants as it heads toward net zero. For this reason, it has vigorously fought for Nord Stream 2 to be complete.

The United States, in an attempt to cultivate closer ties with Germany, has ended its fight against the pipeline in support of Germany.

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