LONDON (Financial times) - Canada is to allow the export of key equipment for the main Russian gas pipeline to Germany, clearing a potential obstacle to the resumption of increased gas deliveries to Europe. Ottawa late on Saturday granted an exemption to its sanctions on Moscow, bringing potential relief in Berlin, which fears it could be forced to ration supplies.
The Nord Stream 1 pipeline supplies Germany with much of its Russian gas. Canada had blocked the delivery of a gas turbine used in the pipeline, which was being repaired by German manufacturer Siemens Energy at its plant in Montreal, because of its sanctions on the Russian energy sector.
Moscow blamed this delay for its decision last month to cut the flow of gas through the pipeline by 60 per cent, sending gas prices soaring.
Canada’s minister of natural resources Jonathan Wilkinson said on Twitter that it would “grant a time-limited and revocable permit” to allow Siemens Energy to transport the turbine back to Germany.
“Absent a necessary supply of natural gas, the German economy will suffer very significant hardship and Germans themselves will be at risk of being unable to heat their homes as winter approaches,” Wilkinson said.
Siemens Energy, which declined to comment, will need a further waiver from EU sanctions to be able to transport the turbine to Russia. “We welcome the decision of our Canadian friends and allies,” the German government said in a statement on Sunday. The Russian decision to reduce supplies had hampered German efforts to rebuild gas storage levels ahead of the winter heating season, when demand for gas is much greater.