The European Commission is concerned over the planned amendments to
Bulgaria's energy legislation which affect the South Stream gas pipeline
as they are in breach of EU law, European energy commissioner Guenther
Oettinger's spokesperson said, as quoted by news portal EurActiv.
In the beginning of April Bulgaria's National Assembly adopted in
principle a bill making it possible to exclude the Bulgarian offshore
section of the planned South Stream gas pipeline from the scope of the
EU's Third Energy Package, which regulates third-party access to gas
transport infrastructure in the EU. Under the bill, the 24-kilometre
Bulgarian offshore section of the pipeline would have the legal status
of a facility which does not cross EU territory, whereas the onshore
section will have the status of a gas interconnector.
The Commission's concerns as regards the proposed amendment of the
Bulgarian energy law relate to the explicit exclusion from the Third
Energy Package of what Bulgaria calls the "sea gas pipeline" defined as
an off-shore pipeline with some on-shore section and installations as
well, news portal EurActiv quoted Sabine Berger as saying after a
meeting between Oettinger and Bulgarian economy minister Dragomir
Stoynev in Brussels.
She stressed that EU law applies to infrastructure under EU
jurisdiction, including Bulgarian territorial waters and Bulgarian
exclusive economic zones.
“The length of the on-shore section of the "sea gas pipeline" is
irrelevant for the Commission's assessment of the proposed amendments as
regards their compatibility with the gas directive”, Berger said.
Berger added that the Commission was also concerned about the broader
Bulgarian Inter-Governmental Agreement (IGA) with Russia on South
Stream, which the Commission considers in conflict with EU law, like
other IGAs on South Stream.
All EU member states involved in the South Stream project have
authorised Oettinger to hold talks with Russia on the gas pipeline
construction. These rules, prepared by a working group, should be used
as a base for the re-negotiation of the intergovernmental agreements.
"If the South Stream pipeline will be built in violation of EU laws,
including on public procurement, or if it will be operated in violation
of EU laws, the Commission will take the necessary steps to ensure EU
legislation will be applied," Berger concluded.
For its part, the Bulgarian economy ministry, in a press release issued
after the same meeting, said that according to Stoynev the bill in no
way contravenes EU law.
Stoynev told Oettinger that the bill is still pending final adoption,
the economy ministry said, adding that the two officials had agreed on
holding joint expert meetings in the coming weeks to discuss the
proposed legislative changes.
Last week Bulgaria's energy ministry said the country will seek
compensation if the European Commission decides to block the South
Stream gas pipeline since its economy is dependent on the project's
implementation. Earlier that day, the European Parliament adopted a
resolution, urging to call off the construction of the South Stream gas
pipeline.
South Stream, spearheaded by Russia's Gazprom, aims to diversify gas
routes within the European Union and to provide stable gas supplies from
Russia to central and southern Europe. The offshore section of the
pipeline is to pass through the economic zones of Russia, Turkey and
Bulgaria, while its onshore section is designed to pass through the
territories of Bulgaria, Serbia, Hungary, Greece, Slovenia, Croatia and
Austria.
South Stream is planned to go live by the end of 2015 with a pipeline
capacity of some 63 billion cubic meters per year.