EC: Suspension of South Stream construction in EU countries

The European Commission has decided to suspend the construction of South Stream gas pipeline in the EU territory until bilateral agreements are revised.

This concerns the bilateral agreements that Russia signed with EU member countries, and Bulgaria risks a lawsuit if it refuses to do as told, said Sabine Berger, the spokesperson of Energy Commissioner Guenther Oettinger.

- Our position is clear: South Stream is not in compliance with the Third Energy Package and European rules on competition, internal market and public procurements - Berger told the press in Brussels.

EC announced that Bulgaria had been formally asked to provide the information on the commencement of gas pipeline construction under the Black Sea, which is the first step towards filing a lawsuit with the European Court in Strasbourg.

Bulgaria claims that its South Stream-related activities are not in breach of EU rules because all the work is carried out in international waters, but the European Commission has taken a different stand.

- All infrastructure projects and investments must be in line with law - Berger underlined.

If the European Court receives the lawsuit and rules in favor of the EC, Bulgaria will have to cease the construction of South Stream or face high financial penalties.