German Chancellor Olaf Scholz on Thursday visited a Russian pipeline turbine that was freed from Canadian export controls but is now blocked in Germany amid a standoff with the Kremlin. He urged Moscow to take back the equipment, which he said was necessary to restore gas shipments to Germany to previous levels. “The turbine is working,” Mr. Scholz said after taking reporters to a warehouse in western Germany where the turbine is stored. He said the purpose of his visit was to show the world that the turbine was in excellent condition and could be quickly delivered to Russia. Canada is “there for” Ukraine – except in all the ways that count Scholz on turbines: “Trudeau took a strong decision that strengthened the position of Germany and Europe” “It’s quite clear and simple: the turbine is there and it can be delivered, but someone has to say, ‘I want to have it.’ “ Russia has put up roadblocks to its return – prompting critics in Canada to question why Ottawa exempted it from the sanctions regime in the first place. The turbine is one of several Nord Stream 1 pipelines, majority-owned by Kremlin-controlled gas producer Gazprom, which it uses to compress natural gas as it flows from Russia under the Baltic Sea to Germany. It is operating at only 20 percent capacity and is contributing to an escalating energy crisis. About 25 percent of Germany’s energy supply comes from natural gas. Russia cut gas shipments in June, blaming the absence of that gas turbine. The equipment was serviced by Siemens Energy in Montreal, but had been stuck there because of Canada’s sanctions on Gazprom stemming from Moscow’s February military offensive in Ukraine. The Canadian government created an exemption to return the Nord Stream 1 turbine and allow the import, repair and re-export of five more Russian turbines. The Ukrainian government warned that the decision would set a dangerous precedent for other allies to ease their sanctions on Russia. Pipes at the onshore facilities of the Nord Stream 1 natural gas pipeline in Lubmin, Germany, on March 8. The pipeline is operating at only 20 percent capacity and is contributing to an escalating energy crisis in Europe.HANNIBAL HANSCHKE/Reuters The first returned turbine is still in Germany instead of returning to Russia due to issues raised by Gazprom and the Russians. Last Friday, Gazprom Deputy CEO Vitaly Markelov said the decision to send it to Germany for transport to Russia was not in line with the terms of the contract with Siemens. He said Gazprom had complained about problems with other turbines. “We have repeatedly applied to the Russian representative office of Siemens about this, sent 10 letters. “Siemens did not correct more than a quarter of the errors found,” he said in a television interview. Mr. Markelov listed the serial numbers of three other engines that needed repair by Siemens because of failures in May and June that had put them out of service. Siemens Energy Canada spokeswoman Ann Adair declined to comment on Gazprom’s claims. Kremlin spokesman Dmitry Peskov said Wednesday that a lack of documentation is preventing the turbine from being returned to Russia. Separately on Wednesday, Gazprom said via its Twitter account that Western sanctions from the European Union, the United Kingdom and Canada and “contractual obligations on the part of Siemens make it impossible to import 073 [turbine] engine’ at the Portovaya compressor station in Russia. Maéva Proteau, communications director for Foreign Affairs Minister Mélanie Joly, said Canada has granted the necessary permission “and there are no sanction restrictions” to return the turbines. In Montreal, Ms. Joly defended the decision to return the turbine and was unwilling to consider revoking the license that allows Siemens Energy to import, repair and re-export up to five more Nord Stream 1 turbines. Foreign Minister Mélanie Joly and her German counterpart Annalena Baerbock tour the Port of Montreal on August 3. The duo said Vladimir Putin was trying to divide allies by blaming Canada for reduced pipeline shipments. Paul Chiasson/The Canadian Press She and German Foreign Minister Annalena Baerbock, who was visiting Montreal in Canada, said Russian President Vladimir Putin was trying to divide allies by blaming Canada for reduced pipeline shipments. “Our strongest weapon is unity within this alliance. Again we have shown as an alliance that there is no chance – not an inch – that Putin will succeed in tearing us apart,” Ms Baerbock said. Ms Jolie said the return of the turbine helped expose the game Mr Putin was playing. “It is now clear that Putin is rigging energy flows to Europe. People are seeing through this game and that’s why we decided to make sure we took a strong stand and a tough decision by sending the turbine back,” Ms. Jolie told reporters in Montreal. The Ukrainian Canadian Congress (UCC), an advocacy group for Canadians of Ukrainian descent, said the minister’s reasoning made no sense. Chief executive Ihor Michalchyshyn said it had been apparent for years that Mr Putin was using Russia’s energy supply to punish enemies and reward allies. “It was very clear, and absolutely predictable, that Russia would continue to use energy as a weapon after Canada acquiesced in Russian blackmail,” Mr. Michalchyshyn said. “All our government has done is embolden Russia, which will have far-reaching consequences – all bad – for Ukraine, for the EU and for Canadian security.” Siemens Energy CEO Christian Bruch told the German Press Agency that talks with Gazprom are continuing, “but no agreement has been reached.” Siemens Energy previously announced that the required customs documents for import into Russia were missing. These documents could only be provided by Gazprom. With reports from Reuters The Morning Update and Afternoon Update newsletters are written by Globe editors, giving you a concise summary of the day’s most important headlines. Sign up today.
