Published: October 26, 2023 2:18 pm
Author: RT
The Russian energy giant faced a $7 billion penalty in Poland over Nord Stream 2
An appeals court in Poland has overturned a decision by the national antitrust authority to impose the highest possible fine on Russian energy major Gazprom, Polish outlet Puls Biznesu reported on Wednesday.
The Office of Competition and Consumer Protection (UOKiK) issued Gazprom with a penalty of 29 billion zloty ($6.85 billion) in 2020 for setting up a company tasked with the construction and operation of the Nord Stream 2 gas pipeline without obtaining prior permission from the regulator, and thus violating competition laws.
The fine was the highest permitted by Polish law, and constituted 10% of the company’s annual turnover. Gazprom’s five EU partners – Engie, Uniper, Wintershall Dea, OMV and Shell – were also fined.
Gazprom disputed the ruling at the time, and Shell also launched an appeal.
The construction of Nord Stream 2 natural gas pipeline was carried out by Gazprom and several European companies in 2011-2021. The pipeline runs along the bottom of the Baltic Sea, parallel to Nord Stream 1, the pipeline which was the main route for delivering Russian natural gas to the EU.
READ MORE: Russia’s Gazprom ‘confident’ despite sanctions – CEO
In September 2022 both pipelines were damaged in a suspected sabotage attack, and gas supplies from Russia to Germany along Nord Stream 1 were suspended. Nord Stream 2 had never been put into operation due to licensing issues with Germany.
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