Editor’s Note: The following is a statement released by the Federal Foreign Office of Germany on July 21. It follows reports that the two nations have been negotiating a “bargain” over Nord Stream 2, a controversial Russia-to-Germany gas pipeline project.
The United States and Germany are steadfast in their support for Ukraine’s sovereignty, territorial integrity, independence, and chosen European path. We recommit ourselves today to push back against Russian aggression and malign activities in Ukraine and beyond. The United States pledges to support Germany’s and France’s efforts to bring peace to eastern Ukraine via the Normandy Format. Germany will intensify its efforts within the Normandy Format to facilitate the implementation of the Minsk agreements. The United States and Germany affirm their commitment to tackling the climate crisis and taking decisive action to reduce emissions in the 2020s to keep a 1.5-degree Celsius temperature limit within reach.
The United States and Germany are united in their determination to hold Russia to account for its aggression and malign activities by imposing costs via sanctions and other tools. We commit to working together via the newly established U.S.-EU High Level Dialogue on Russia, and via bilateral channels, to ensure the United States and the EU remain prepared, including with appropriate tools and mechanisms, to respond together to Russian aggression and malign activities, including Russian efforts to use energy as a weapon. Should Russia attempt to use energy as a weapon or commit further aggressive acts against Ukraine, Germany will take action at the national level and press for effective measures at the European level, including sanctions, to limit Russian export capabilities to Europe in the energy sector, including gas, and/or in other economically relevant sectors. This commitment is designed to ensure that Russia will not misuse any pipeline, including Nord Stream 2, to achieve aggressive political ends by using energy as a weapon.
We support the energy security of Ukraine and Central and Eastern Europe, including the key principles enshrined in the EU’s Third Energy Package of diversity and security of supply. Germany underscores that it will abide by both the letter and the spirit of the Third Energy Package with respect to Nord Stream 2 under German jurisdiction to ensure unbundling and third-party access. This includes an assessment of any risks posed by certification of the project operator to the security of energy supply of the EU.
The United States and Germany are united in their belief that it is in Ukraine’s and Europe’s interest for gas transit via Ukraine to continue beyond 2024. In line with this belief, Germany commits to utilize all available leverage to facilitate an extension of up to 10 years to Ukraine’s gas Transit agreement with Russia, including appointing a special envoy to support those negotiations, to begin as soon as possible and no later than September 1. The United States commits to fully support these efforts.
The United States and Germany are resolute in their commitment to the fight against climate Change and ensuring the success of the Paris Agreement by reducing our own emissions in line with net-zero by 2050 at the latest, encouraging the strengthening of climate ambition of other major economies, and collaborating on the policies and technologies to accelerate the global net-zero transition. That
is why we have launched the U.S.-Germany Climate and Energy Partnership. The Partnership will foster U.S.-Germany collaboration on developing actionable roadmaps to reach our ambitious emission reduction targets; coordinating our domestic policies and priorities in sectoral decarbonization initiatives and multilateral fora; mobilizing investment in energy transition; and developing, demonstrating, and scaling critical energy technologies such as renewable energy and storage, hydrogen, energy efficiency, and electric mobility.
As part of the U.S.-Germany Climate and Energy Partnership, we have decided to establish a pillar to support the energy transitions in emerging economies. This pillar will include a focus on supporting Ukraine and other countries in Central and Eastern Europe. These efforts will not only contribute to the fight against climate change but will support European energy security by reducing demand for Russian energy.
In line with these efforts, Germany commits to establish and administer a Green Fund for Ukraine to support Ukraine’s energy transition, energy efficiency, and energy security. Germany and the United States will endeavor to promote and support investments of at least $1 billion in the Green Fund for Ukraine, including from third parties such as private-sector entities. Germany will provide an initial donation to the fund of at least $175 million and will work toward extending its commitments in the coming budget years. The fund will promote the use of renewable energy; facilitate the development of hydrogen; increase energy efficiency; accelerate the transition from coal; and foster carbon neutrality. The United States plans to support the initiative via technical assistance and policy support consistent with the objectives of the fund, in addition to programs supporting market integration, regulatory reform, and renewables development in Ukraine’s energy sector.
In addition, Germany will continue to support bilateral energy projects with Ukraine, especially in the field of renewables and energy efficiency, as well as coal transition support, including the appointment of a special envoy with dedicated funding of $70 million. Germany is also ready to launch a Ukraine Resilience Package to support Ukraine’s energy security. This will include efforts to safeguard and increase the capacity for reverse flows of gas to Ukraine, with the aim of shielding Ukraine completely from potential future attempts by Russia to cut gas supplies to the country. It will also include technical assistance for Ukraine’s integration into the European electricity grid, building on and in coordination with the ongoing work by the EU and the U.S. Agency for International Development. In addition, Germany will facilitate Ukraine’s inclusion in Germany’s Cyber Capacity Building Facility, support efforts to reform Ukraine’s energy sector, and assist with identifying options to modernize Ukraine’s gas transmission systems.
The United States and Germany express their strong support for the Three Seas Initiative and its efforts to strengthen infrastructure connectivity and energy security in Central and Eastern Europe. Germany commits to expand its engagement with the initiative with an eye toward financially supporting projects of the Three Seas Initiative in the fields of regional energy security and renewable energy. In addition, Germany will support projects of common interest in the energy sector via the EU Budget, with contributions of up to $1.77 billion in 2021-2027. The United States remains committed to investing in the Three Seas Initiative and continues to encourage concrete investments by members and others.
