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Tuesday 3 August 2021

Zelensky is finally using his political capital wisely.

 Finally, Merkel has been hoist by her own petard over Nord Stream2.

 

A small bomb has blown up in the face of Merkel. And the 'small' bomb resides within the 2,135 page of Ukraine's Association Agreement with the EU.

As David M. Herszenhorn  (left) explains,

"It was a bold, bureaucratic retort to a geopolitical provocation that would make the wonkiest, most wizened Brussels civil servant proud: After the U.S. and Germany announced a deal last week on Russia’s controversial Nord Stream 2 gas project, Ukraine yanked out its 2,135-page Association Agreement with the EU, and invoked two provisions to demand urgent consultations with the European Commission and the German government.
...
A partner nation with hopes of one day joining the EU finally had the chutzpah to stand up and openly demand that its rights be respected by the Commission and Germany, the biggest, most powerful EU member country, rather than being cowed into silence for fear of angering or offending its wealthy Western patrons.

.....according to Article 274 of the 2014 agreement, the EU and its member states are obliged to “consult and coordinate” with Ukraine on energy “infrastructure developments” and “shall cooperate on matters related to trade in natural gas, sustainability and security of supply." (Politico : 26 July 2021) (my emphasis)

As Herszenhorn further points out,

"[Svitlana] Zalishchuk said that in the case of Nord Stream 2, Germany appeared to be violating provisions of the EU's Third Energy Package, a legislative package governing the gas and electricity market that Ukraine adopted as its own national law.

"You cannot demand Ukraine to reform itself in accordance with these European rules and then violate these European rules," she said. "This is bizarre and in particular with Nord Stream 2." (ibid Herszenhorn)

Furthermore, as the FT Editorial Board explains,

"... the Biden administration reached an agreement with Berlin allowing completion of the Nord Stream2 gas pipeline — which poses a serious security and economic threat to Ukraine in return for flimsy assurances and compensation for Kyiv. The “deal” — in reality, just a statement — does a grave disservice to Ukraine.
...
The agreement is flawed on all levels. Commitments to counter Russian misbehaviour are vague, the green energy fund will not cover Kyiv’s losses, and the offer of German help on extending gas transit is merely a “promise to try”. (Financial Times : 1 August 2021) (my emphasis)

Crucially, the FT Editorial Board further explains that,

"For Washington and Berlin to agree a deal crucial to Ukraine’s interests with no one from Kyiv in the room is a gift to Putin’s narrative that it is fine for big powers to decide the fate of smaller ones. Even the timing, with German elections in September, is odd. It would surely have made sense to engage with Berlin’s next government — likely to include the Greens, who oppose Nord Stream." (ibid FT Editorial Board)

But there is more.

As reported by UNIAN,

"[Putin's Russia] are preparing in advance for the probable scenario of counteracting the certification of the pipeline and the operator, as well as the commissioning of the pipeline. By reducing the supply of natural gas, Gazprom has already provoked record prices for it in the EU in early August - more than $ 500.
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When the issue of certification and commissioning of PP-2 arises closer to winter, Gazprom will issue an ultimatum - more gas for the EU in exchange for removing all obstacles. Preliminary preparations for an open act of blackmail are already underway." (UNIAN : 3 August 2021) (my emphasis) (google translated)

And another front has opened up in the war between Putin and Ukraine.

As Roman Olearchyk and Max Seddon (left) report,

"A $3.7bn bridge across the Kerch Strait linking Crimea with mainland Russia has become a conduit for trucks ferrying water for locals to take away in plastic containers. Popular Black Sea tourist resorts can turn on their taps for just a few hours a day during peak droughts, while the canal has filled with grass and weeds.

Crimea’s agricultural output has fallen owing to a lack of irrigation, making it all but impossible to grow water-intensive crops such as rice.
...
With tensions rising, Russia deployed tens of thousands of troops and advanced weapons to Crimea this spring, as well as to the border of the two breakaway eastern regions where Moscow-backed separatists have battled government troops into an eighth year." (Financial Times : 29 July 2021) (my emphasis)

As much as US President Biden is trying to gift to Angela Merkel a fully operational Nord Stream2 before she retires into the sunset of political oblivion, this gift is not as easy to bring to fruition as they both first thought.

Zelensky is finally using his political capital wisely.

We now await the Biden-Zelensky meeting that is scheduled to take place at the end of August.

 (to be continued)

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