Germany: Economy Min claims country can meet its energy demands without Russian gas supply

Robert Habeck, Germany's economy minister, said on German public radio on February 23 that his country can meet its energy demands without relying on Russian gas. Habeck went on to say that if energy prices skyrocketed, consumers would be compensated. Habeck, a member of the ruling coalition's Greens, admitted that if Germany cuts off Russian gas imports, there would be a gap at first, which would definitely drive prices higher.

It is worth mentioning that on February 22, Germany's Chancellor Olaf Scholz declared that he has taken steps to halt the process of certifying Nord Stream 2. This is one of the most significant retaliatory measures taken by the west against Russia in response to its actions in Ukraine. Nord Stream 2 is an $11 billion undersea natural gas pipeline linking Russia and Germany.

"As far as the short-term price increases and the burden on consumers and businesses are concerned, we will provide relief elsewhere," Habeck noted.

Germany could achieve its energy needs, according to Habeck, and the supply deficit could be compensated with other energy sources and suppliers. He proposed that the government cut the so-called "green tax" on gas to assist finance the shift to renewable energy, while he also stated that the government has laid out plans to speed up the transition. If gas costs rise, that push could face a fiscal crunch.

Scholz paused approval process for Nord Stream 2 pipeline

In response to Putin's decision the day before to declare the two eastern Ukrainian territories of Luhansk and Donetsk as "autonomous," Chancellor Olaf Scholz paused the approval process for the Nord Stream 2 pipeline on Tuesday. He also directed the Economy Ministry to re-examine Nord Stream 2 in light of Europe's new security situation.

The Nord Stream 2 pipeline, which was finished but never certified, would have increased Germany's reliance on Russian gas, accounting for approximately 70% of total gas deliveries to Germany. Scholz, like his predecessor, has been a vocal supporter of Nord Stream 2, claiming that the pipeline is not politically motivated.

Earlier on February 22, Ukrainian President Volodymyr Zelensky asked that the Nord Stream 2 project, which would pump Russian natural gas to Germany over the Baltic Sea, be put on hold immediately. Russia must be punished for its recognition of Ukraine's two separatist-held areas on Monday, Zelensky added, with "immediate sanctions" including "the complete stop of Nord Stream 2."

(With inputs from agencies)

Image: AP