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Policy & Regulation

ECJ ruling on OPAL is welcome news for Kiev

The European Commission’s decision to allow Gazprom to export more gas on the pipeline has been overruled, giving Ukraine more bargaining power in transit negotiations with Russia The European Commission’s decision to allow Gazprom to export more gas on the pipeline has been overruled, giving Ukraine more bargaining power in transit negotiations with Russia.
By Andreas Walstad 10 September 2019 Europe & Russia / Policy & Regulation 0 34568
The OPAL pipeline during its construction phase. (Wingas)

The European Court of Justice (ECJ) on Tuesday overruled the European Commission’s decision to allow Gazprom to export more gas on the OPAL pipeline, meaning the Russian major will have to reduce exports on the route by an estimated 7-10 billion cubic metres per year.

The 36.5 bcm/y OPAL pipeline is an extension of Nord Stream 1 into Germany and the Czech Republic. Reduced volumes along the route could increase Russia’s dependence on the Ukrainian corridor, which currently transits around 40% of Russian...