energy
Nord Stream 2: Uniper is not planning any legal action
Uniper is involved with around EUR 950 million in financing the Nord Stream 2 gas pipeline in the Baltic Sea, which costs around EUR 10 billion. Photo: Rolf Vennenbernd/dpa
© dpa-infocom GmbH
The Düsseldorf power plant operator Uniper is involved in the construction of the Baltic Sea pipeline with almost one billion euros. What the suspension of the approval process means for the company is still being examined.
The energy company Uniper, which is involved in the Nord Stream 2 gas pipeline, is not planning any legal action against the approval process that the federal government has suspended for the time being.
“We are currently not dealing with any questions as to whether this could trigger legal consequences,” said CEO Klaus-Dieter Maubach to journalists on the occasion of the publication of business figures. If someone complains, it should be the operating company, said the head of the company, which is majority owned by the Finnish Fortum Group.
The federal government had stopped the steps to approve the pipeline on Tuesday, reacting to Russia’s recognition of the separatist areas in eastern Ukraine. The operating company of the pipeline, Nord Stream 2 AG, belongs to the Russian state-owned company Gazprom.
The effects of the decision for Uniper would be examined, “including possible impairments,” said Maubach, without giving details. Uniper is involved with around 950 million euros in financing the Baltic Sea gas pipeline, which costs around 10 billion euros.
Possible consequences for business
He could not rule out the impact on Uniper’s business due to sanctions against Russia. After all, he does not know how the situation will develop, and it is therefore “impossible” to predict what effects the situation in Russia will have on Uniper’s business, said the manager. Experts expect gas prices to rise if the conflict between Russia and Ukraine continues to escalate. This could lead to increased liquidity requirements at Uniper. This is because rising raw material prices require the group to pay higher security deposits in advance.
According to Maubach, Uniper’s operational business is not affected by the conflict. Uniper does part of its business in Russia, under the Unipro brand. However, Maubach said that the facilities there are not in the border region that is currently primarily affected by the conflict. Accordingly, the security of supply is not endangered, there are no effects on the operational business. He is counting on an early diplomatic solution to the conflict and on the fact that the certification process will then be resumed.
profit increases
Adjusted earnings before interest and taxes (EBIT) rose in 2021 compared to the previous year by almost a fifth to around 1.19 billion euros. According to the listed company, this is mainly due to the strong result in the area of global trade and the gas business. In the current year, the group is aiming for adjusted earnings before interest and taxes (EBIT) of 1.0 to 1.3 billion euros.
Uniper operates power plants (gas, coal, water, oil, nuclear) in six European countries. Together they have more than 34 gigawatts of generation capacity. According to Uniper, this makes it one of the largest electricity producers in the world. The company employs around 11,500 people in 40 countries.