German government to seize local branch of Russian oil firm — Analysis

Berlin’s economy minister called the decision ‘urgently necessary’ to maintain the country’s energy supply

Germany is set to take ownership of a local branch of Russia’s state-owned oil firm Gazprom. Berlin’s energy regulator will temporarily control the company despite Moscow’s insistence that the move would be illegal.

Economy Minister Robert Habeck announced the decision on Monday, arguing it would mean that Germany’s energy infrastructure is not “subject to arbitrary decisions by the Kremlin.”

“The arrangement of the trust administration serves to protect public safety and order and to maintain the security of supply,”Habeck stated to reporters that the step had been taken. “is urgently necessary”For your security “security of supply in Germany.”

Germany mulls nationalizing Gazprom, Rosneft branches – reports

The minister said the Gazprom branch would come under the trusteeship of the Federal Network Agency, Germany’s main energy regulator, until September 30. The minister did not give any further details on the future of Gazprom, but it is unclear what the government will do with it.

Gazprom declared last Friday that the Gazprom Germania subsidiary would be closed and that all of its assets would be sold. Dmitry Peskov, spokesperson for the Kremlin, stated however that Russian nationalization by Berlin is possible. “seriously violate international law,” deeming it “unacceptable.”

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