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Wednesday 28 July 2021

Nord Stream 2, fait accompli by Putin

Vladimir Putin took a leaf from the first of the Chinese 36 stratagem that says “Deceive Heavens to Cross the Sea”. This stratagem states that progress of any event must not be made known to the enemy until the last moment. When it is found a done deal the opponent has to adjust to the situation and accept the deal. Joe Biden POTUS did precisely that. How Putin brought about fait accompli with concerned parties?

USA

Up until recently “Using the strategy of blocking at the dead-end, America seeks at worst to stop the project forever and at best to delay the project while extracting concessions from both Germany and Gazprom.” (Read). After talks with German President Angela Merkel in the White House President Biden told reporters on Wednesday 21 July 2021, “Nord Stream is 99 percent finished. The idea that anything was going to be said or done that was going to stop it is not possible.” Admission of the failure of the dead-end strategy has opened up new vistas for America, Germany & Russia in geoeconomics. Biden was quick at the draw a la Clint Eastwood.

Germany

For Angela Markel, this is her parting gift to the German nation as she steps down after almost 16 years stay as the helms woman. Although she bequeathed this to her party Christian Democratic Union of Germany, how they will use this trophy in the upcoming election in September 26, is unknown. The Green Party riding high in the forecast polls has consistently opposed to Nord Stream 2. Annalena Baerbock the young & dynamic co-leader has been nominated recently as the Green party’s candidate for Chancellor. Polling at 30% of votes she has every chance to win the election.

But natural gas is a vital geoeconomics issue for whichever party that wins the election. There is all round acceptance that gas production in Europe as a whole is sliding and Netherlands, one of the leading supplier in Europe is lowering down her production target. Meantime gas consumption in Europe is rising exponentially. Germany has to either find alternative sources or to expand capacity of the Nord Stream 1 with Nord Stream 2. The US$ 11 Billion Nord Stream 2 is a suitable one on the basis of it being a known devil in terms of Russian supply of gas to Germany and thence to other European countries. The supply is currently pitched at 55 billion cubic metres (bcm) via Nord Stream 1. When both Streams are in operation it could double as high as 110 bcm.

Russia

The grand master of business strategy, Vladimir Putin concealed the real progress of laying of pipelines for North Stream 2. Occasionally in order to heat up controversy Russia would announce certain percentage of work completed and so on to hoodwink both USA and European countries that are opposed to it from the beginning. Russian & German secret services joined hands to release false information as and when it suits them fine.

When the project is almost complete only Foreign Minister Sergey Lavrov talked about Dead –End strategy by America to stop the construction. Finally, when Angela Merkel met Biden few days ago the actual position of the project was made known to the latter’s astonishment and that of CIA. Since the Fait accompli is clear President Biden required an honourable exit. That was provided by Germany & Russia to close the case amicably.

 

Cheers! 

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail:   cosmicgems@gmail.com

Blog:   Business Strategist

 


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