A Pipeline Too Far? EU Law Obstacles to Nordstream 2

Abstract

This paper considers the vexed and controversial European Union legal issues surrounding the proposed Nordstream 2 pipeline. It focuses initially on the question of what obstacles would be placed in the way of the pipeline if EU law, and particularly the Gas Directive 2009 applies in full to the project. Having explored that issue, and come to the conclusion that the application of modern EU energy liberalisation law would impose significant additional obstacles on Nordstream 2 it then turns to the question of legal applicability. The question of the applicability of EU law to import pipelines is considered in terms of legal analysis of legislation, case law and legal principle, and then in respect of the actual application of Union law to import pipelines, notably Yamal and Southstream. In the conclusion, the paper considers the implications of the proposed amendment to the Gas Directive 2009 which would formally extend that directive to import pipelines.

Keywords: European Union, EU Law, Energy Law, Import Pipelines, Energy Security, Energy Union

JEL Classification: K2