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Berlin says it won't allow energy company Uniper to go bankrupt

  • By Al Mayadeen English
  • Source: Agencies
  • 8 Jul 2022 22:21
2 Min Read

German national energy company Uniper requests state support to stabilize its business amid the ongoing gas crisis.

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  • German National energy company Uniper
    German National energy company Uniper

German Vice-Chancellor and Economy Minister Robert Habeck said Friday that the German government will not allow the bankruptcy of energy company Uniper,  adding that Berlin is considering appropriate support measures.

On Friday, Uniper requested state support from the German government to stabilize its business amid the gas crisis. This happened immediately after the German Bundestag adopted amendments to the law on energy security.

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Habeck said that "The government is actively working on stabilization measures [for Uniper]. We are in close contact with all stakeholders. Negotiations are underway on specific forms of support, and then a decision will be made.

"From a political point of view, one thing is clear — we will not allow a backbone enterprise to go bankrupt," he added.

Earlier in the day, the head of Uniper, Klaus-Dieter Maubach, accused Russia's Gazprom of contract violations due to cuts in supplies but noted that the company does not yet consider taking legal action in the hope the deliveries will be restored soon. 
 
It is noteworthy that Russian energy giant Gazprom had to cut down its gas deliveries through the Nord Stream 1 pipeline in mid-June after Germany's Siemens delayed the return of a gas turbine sent to Canada for maintenance.

Ottawa initially refused to send the turbine back citing sanctions against Russia. Habeck has since urged Canada to hand over the turbine to Germany instead of Russia to avoid legal issues. On Friday, the media reported, citing sources, that the two countries managed to reach a deal.

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