Bulgaria suspends construction work on South Stream

Bulgaria’s Minister of Economy and Energy Vasil Shtonov has instructed Bulgarian Energy Holding to suspend construction work on the South Stream pipeline, including all tendering and contracting for the project, as it does not meet the legal requirements of the European Commission.

This represents the second delay in construction work on Bulgaria’s section of the pipeline. The project was held up due to concerns that Russia’s bilateral agreements with European transit countries (Austria, Bulgaria, Hungary and Slovenia) breached the EU Third Energy Package. In June 2014, the EU opened an infringement procedure against Bulgaria and demanded that construction on the pipeline be suspended. Furthermore, the EU requested an investigation into how contracts were awarded for work on South Stream in Bulgaria.

Edited from various sources by Rosalie Starling

Sources: Ministry of Economy and Energy, RIA Novosti.

Read the article online at: https://www.worldpipelines.com/business-news/19082014/bulgaria-suspends-construction-work-on-south-stream-734/