Germany’s Steinmeier Urges EU “Energy Foreign Policy” on Russia

Text of interview with German Foreign Minister Frank-Walter Steinmeier entitled: “Fear Deliberately Fostered”, published by the German news magazine Der Spiegel on 15 January

[Der Spiegel] Mr Steinmeier, how reliable is Russia as energy supplier?

[Steinmeier] Over decades, there have not been any grounds for complaint. However, the Russian behaviour in the oil dispute with Minsk has indeed raised questions. Therefore, the chancellor [Federal Chancellor Angela Merkel] is right when she urges Moscow to consult the recipient countries such as Germany beforehand. But it would be absurd to think that this jeopardizes our energy security now.

[Der Spiegel] Why is this absurd? One-third of our oil and gas imports are from this country.

[Steinmeier] We must not let ourselves be misled. We are by far not as unilaterally dependent as others are because in past years we have diversified. France is almost completely dependent on nuclear power; others unilaterally depend on one single supplier. We import almost half of our gas from other European states. A liquefied natural gas terminal will soon be built for the transportation of the gas other than by pipeline.

[Der Spiegel] So we need not be afraid of the Russians?

[Steinmeier] There is no reason for the present hysteria. Just look at it the other way round: Russia and Norway simply cannot afford to turn their back on the gigantic EU market.

[Der Spiegel] Do they know this?

[Steinmeier] Of course. Moreover, they accept that we have to diversify our energy sources and suppliers. I explained to my Russian partners that first they have to guarantee the deliveries, and should settle their dispute with Belarus later. This is in Russia’s own interest.

[Der Spiegel] And did they get the message?

[Steinmeier] At least, the oil has started flowing again, and there have not been any supply bottlenecks. Less than 2 per cent of our oil imports are used for the production of electricity. Hence, I have the impression that the fear is deliberately being fostered. There is no other explanation for the increasing calls demanding a revision of the nuclear phase-out plan.

[Der Spiegel] You are in favour of an offensive “energy foreign policy.” What can the state do to bring its influence to bear on the energy industry?

[Steinmeier] Last year, I visited our most important supply countries, Russia and Norway, but also North Africa, Central Asia, and the Gulf region. There in most of the production companies the state holds a majority stake. On the issue of energy, the government’s say is more important than in other sectors.

[Der Spiegel] This can be seen in the case of Russia.

[Steinmeier] This is in fact a case for European energy foreign policy. We want to negotiate with Moscow mechanisms that guarantee the reliable delivery of oil and gas.

[Der Spiegel] But for this, the negotiations about the partnership agreement between the EU and Russia should be started first. This has been thwarted by a dispute between Poland and Russia over meat imports.

[Steinmeier] I hope that we can settle the dispute soon in order for the General Council to be able to grant a negotiation mandate.

[Der Spiegel] In your view, Europe should speak with one voice in terms of energy policy. But the dispute over the EU energy strategy has shown that there are differences within Europe.

[Steinmeier] I have a more relaxed view. The European Commission was wise enough not to tell its members how to produce their energy. Brussels does not counteract Germany’s decision on nuclear phase- out.

[Der Spiegel] Brussels demands a separation of the electricity production from the distribution networks. What is your strategy to prevent the German electricity companies from being broken up?

[Steinmeier] Here, Brussels will not exert pressure either. There is a corridor of possibilities recommended by the Commission as to how the member states can organize their energy industry.

[Der Spiegel] Is the German way compatible with this?

[Steinmeier] Yes, I think so. It is true that in our country, the electricity producers also operate the networks. But an independent grid agency controls the transmission fees and guarantees discrimination-free access.

[Der Spiegel] Brussels demands more than just the outsourcing to affiliate companies.

[Steinmeier] Perhaps the goal is the break-up of companies into smaller units, which, however, only concerns the legal structure. But I am warning against the political goal of breaking up the electricity groups. This would be of little help with regard to the determination of internal price levels, but it would potentially damage our long-term energy interests in the energy producing countries.

[Der Spiegel] In what respect?

[Steinmeier] In order to protect our interest in secure energy deliveries from countries such as Russia, we have to increase our participation in the exploration and production of new energy resources. In order for Germany to take part in the energy producing business, it needs financially strong global players for investments and cooperation with the companies in the producing countries. Here, breaking up our electricity companies would be precisely the wrong thing to do.

(c) 2007 BBC Monitoring European. Provided by ProQuest Information and Learning. All rights Reserved.