The EU General Court has dismissed an appeal by Nord Stream 2 AG, the Gazprom-led consortium behind the controversial Nord Stream 2 gas pipeline, challenging EU regulations on pipeline access.
The Swiss-based company initially lodged its complaint against the EU Council and European Parliament in 2019, opposing requirements to “unbundle” ownership and ensure third-party access. While the case was initially rejected in 2020, an appeal ruling in 2022 allowed the consortium to reargue its position.
In today’s ruling, the Luxembourg-based court emphasized that Nord Stream 2 AG had proceeded with investments in the pipeline despite knowing the risk of EU laws being applied. The court noted that the EU institutions and certain Member States had long signaled their intention to extend internal market rules to pipelines from third countries like Nord Stream 2.
The pipeline, which cost billions to construct, had its operations indefinitely suspended following Russia’s invasion of Ukraine in February 2022. Shortly after the invasion, Nord Stream 2 AG declared bankruptcy on March 1, 2022.
The pipeline’s future has become even more uncertain following reported sabotage in late 2022. Adding to the intrigue, the Wall Street Journal recently revealed that Stephen Lynch, a financier and supporter of U.S. president-elect Donald Trump, is considering bidding for the damaged infrastructure during the bankruptcy proceedings.
Nord Stream 2 was backed by a coalition of major European energy companies, including Germany’s Uniper and Wintershall Dea, Austria’s OMV, France’s Engie, Royal Dutch Shell, and Russia’s Gazprom.
