Daily Briefs


Photo : FilePhoto: REUTERS/Kevin Lamarque

23 November 2021, Monday | NIAS Europe Daily Brief #50

Russia: US imposes further sanctions on a Russian shell company. Four reasons why

US Concerns over remark of Bulgarian President; Kremlin Spokesperson demands NATO to stop arming Ukraine; Šefčovič calls out Lord Frost on "political posturing"

IN FOCUS
By Padmashree Anandhan

Russia: US imposes further sanctions on a Russian shell company. Four reasons why

On 22 November, the Department of State pipeline-imposed sanctions on two additional vessels and a Russian-linked entity called Transadria Ltd in opposition to the Nord Stream 2 pipeline. The sanctions will be levied under Protecting Europe's Energy Security Act of 2019 (PEESA) on the Russian shell company, and its vessel, the Marlin, will be classified as blocked property. According to the Secretary of State Antony Blinken, "today's report is in line with the United States continuing opposition to the Nord Stream 2 pipeline and the US Government's continued compliance with PEESA. With today's action, the Administration has now sanctioned 8 persons and identified 17 of their vessels as blocked property pursuant to PEESA in connection with Nord Stream 2."

Four Reasons behind the growing US opposition

First, the Ukraine issue. The Ukraine pipeline, which was used the most in transporting the natural gas from Russia to Germany and central Europe, will no longer be needed. The Nord Stream 2 pipeline will directly transfer the gas to Germany and larger Europe. Therefore, Ukraine will face huge revenue loss. While the US made a deal to help Ukraine mitigate the losses, Germany has also agreed to invest in Ukraine to move towards cleaner energy. Ukraine has also been promised by Germany for a gas transit agreement with Moscow. Although the Moscow deal will be in place till 2024, it is uncertain as tensions exist between Russia and Ukraine in annexing Crimea.

Second, the Freedom Gas. The US plans to create a new route for its gas supplies is barred now due to Europe's engagement with Russia. If it has to make a difference, it must sanction the Swiss-based company rather than block its vessels. This is because the construction of the pipeline has been completed, and instead of charging its vessels, it will be better to sanction the company. In that way, Russia can be kept under check and can prevent the energy industry of the EU from getting exploited. 

Third, reducing the Russian involvement in the region. As part of its building back its transatlantic relations, the US has been closely taking steps towards the EU in smoothening of the relations. With Russia partnering for a huge gas pipeline means a power threat to the US. It will not wish to lose its influence in the region or allow any other to cause trouble in exercising its relations.

Fourth, the Baltic States and Romania. Another primary reason is that many individual states within the EU, such as Poland, Slovakia, and other eastern European states, fear the growing dependency and the impact Russian can cause if it decides to manipulate its power over gas supplies. This might be a huge threat to the energy sector of Europe. Hence the US also stands in line with those states.

What is the take of Germany?

Like many European governments, Germany also sees this pipeline as a valid solution to its energy crisis. As the winter nears, it fears power outages and surges in gas prices. Hence, ensuring the supply of gas from Russia will maintain its cost and get through the crisis. Germany is wary of Russia's play in the sudden cutting off of oil supplies or President Putin's warning to cut off gas supplies. It has developed a backup deal with the US to take action on Russia if it used energy to weaponize its relations with Ukraine or any states of the EU

 References:

"US imposes further sanctions in connection with Nord Stream 2 gas pipeline," Reuters, 23 November 2021

"Imposition of Further Sanctions in Connection with Nord Stream 2," US Department of State, 22 November 2021.

"Nord Stream 2: US announces more sanctions over pipeline," Deutsche Welle, 22 November 2021


IN BRIEF
By Joeana Cera Matthews and Vaishnavi Iyer

BULGARIA
Bulgarian President's remarks over Crimea spark US concern
Bulgarian President Rumen Radev described Crimea as "currently Russian" during a presidential debate last week. Radev also urged Brussels to reopen lines of contact with Moscow and stated that he does not favor sanctions upon Moscow since he believes they are ineffective. Ukraine condemned his views on Crimea, and his domestic opponents retaliated. The US embassy expressed "deep concern" at the statement made by Bulgaria's President, stating that Crimea was "currently Russian." The embassy declared in a release that the EU and NATO were clear about Crimea belonging to Ukraine. At the Crimea Platform summit in August, several allies underlined that Crimea remains an integral part of Ukraine and will not recognize Russian efforts to legitimate its unlawful invasion and seizure of Crimea as stated by the US embassy. ("US' deeply concerned' over Bulgarian President's Crimea remarks," Deutsche Welle, 22 November 2021)

DENMARK
Six Inuit file case against the government demanding reparations for lost childhood
Six Inuit kidnapped from their Greenlandic homes and transferred to Denmark 70 years ago are suing the government for reimbursement for their lost childhood. Denmark abducted 22 children from its former colony in 1951, assuring a better standard of living and the opportunity to return to Greenland as a new Danish-educated elite. In a letter to Denmark's prime minister, six of the 22 survivors, now in their 70s, seek GBP 28,200 in reparations. Even though they had families, they were placed in orphanages when they returned to Greenland. Many of them had entirely lost contact with their relatives. Their lawyer, Mads Pramming, added: "They lost their families, their language, their culture, and their sense of belonging." According to Pramming, it was a breach of their "right to a private life, a family life" under the European Convention on Human Rights. He went on to say that he would give the prime minister's office two weeks to react before filing a lawsuit. ("Six Inuit snatched by Denmark 70 years ago demand compensation," The Guardian, 22 November 2021)

FRANCE
Hotel driver accused of facilitating Tutsi genocide undergoes trial
The trial of Claude Muhayimana, a former hotel driver accused of driving Hutu fighters to locations where they massacred Tutsis during the 1994 Rwandan genocide, commences in Paris. Muhayimana stands accused of "complicity in genocide" and "crimes against humanity" for offering "aid and support" to the Hutus. It's the third similar trial in France of Rwanda genocide perpetrators, but the first of a "normal" civilian with no evident ties to the government or military. He stands accused of agreeing to drive the Hutu police and Interahamwe, around Lake Kivu. The case is complex, considering he hid Tutsis at "risk of death" and facilitated their escape. His wife was also a Tutsi. The case comes after two postponements,10 years of proceedings. Fifty witnesses are expected to be present for the trial. Collective of Civil Parties for trial's, Alexandre Kiabski said: "Muhayimana will be the first ordinary citizen to face trial. Before the genocide, Muhayimana was respectable all around." Muhayimana's attorneys held that he had little to no choice in obeying the Hutu authorities. The final verdict is expected to be around 17 December. If convicted, Muhayimana could face life in prison. ("France puts driver accused of genocide complicity in Rwanda on trial," Deutsche Welle, 22 November 2021)

RUSSIA
Russia calls US concern over Ukraine impolite and "not logical"
Dmitry Peskov, a Kremlin spokesperson, denied rumours that Russia was planning an incursion after NATO and Russia hurled allegations of deploying troops near Ukraine's borders. His remarks came a day after US Ambassador Anthony Blinken stated that the US had serious worries about Russia's army movements and attitude toward Ukraine. He added that the US was aware of the Russian excuse of citing fictitious aggression from Ukraine or another nation as a cover for Russian plans. Russia has denied allegations stating that the US is accusing Russia of unprecedented military action in Ukraine, after the US withdrawal from Afghanistan. "This hysteria is being intentionally whipped up," added Peskov. He demanded NATO to stop arming Ukraine, facilitating a disaster and a larger problem for Europe. ("Russia slams Western' hysteria' over Ukraine," Deutsche Welle,  21 November 2021)

REGIONAL
Tsikhanouskaya upset over Merkel-Lukashenko talks
On 22 November, exiled Belarusian opposition leader Sviatlana Tsikhanouskaya decried acting German Chancellor Angela Merkel holding telephonic conversations with Belarusian President Alexander Lukashenko in an effort to deescalate the border tensions. She condemned the same on the grounds that any form of diplomatic dialogue between the EU leaders and him would imply providing him with the legitimacy he aims to attain. Explaining that she understood Merkel's intentions were pure, she said: "From the side of the Belarusian people, it looked very strange." Merkel, as a response to the criticism, held a conversation with Tsikhanouskaya over the phone where the Chancellor reiterated Germany's support for the upliftment of democratic processes in Belarus. Lukashenko's rule has been considered illegitimate since the country's 2020 presidential elections that were denounced as rigged. ("Belarus opposition leader criticizes Merkel's 'strange' calls with Lukashenko," Deutsche Welle, 22 November 2021)

BREXIT
Šefčovič calls out Lord Frost on "political posturing"
On 21 November, the European Commission Vice-President Maroš Šefčovič while talking on the BBC's 'The Andrew Marr Show' blamed the UK's Brexit Minister Lord David Frost of "political posturing". On 21 November, Lord Frost had written an article in The Mail about the necessity of "urgent" measures from the EU for resolving the Northern Ireland Protocol issue. The solution suggested by Lord Frost was that "goods which both we and the EU agree aren't going to leave NI should not be treated as if they were moving from one country to another because they are not and goods going into Ireland should be checked in the Irish Sea to protect the EU's single market and avoid a hard border." Šefčovič, however, responded: "Sometimes I feel in our meetings I am the only one pushing for urgent solutions… If we would still be in the mode of political posturing and bringing new problems to the table, I don't think we will solve the most pressing issues for Northern Ireland and so we may be acting alone to ensure the Northern Ireland people have the medicines they need." ("Šefčovič: EU accuses Lord Frost of 'political posturing'," BBC, 21 November 2021)

Other Daily Briefs