Between Sanctions and Energy Security
On Friday, April 5 CEPA hosted a discussion on the recent developments on Nord Stream 2. The roundtable featured insights from Alan Riley, Senior Fellow at the Institute for Statecraft and Margarita Assenova, Associate Scholar at CEPA. The conversation was moderated by Réka Szemerkényi, Executive Vice President of CEPA.
With the continued construction of Nord Stream 2, Russia stands to gain another mechanism to impact European decision-makers. This pipeline will ultimately increase the Kremlin's economic and political power in Europe. But only if the pipeline is completed. How can the West balance the scales and mitigate Moscow's influence? Some have suggested increasing sanctions from Washington and Brussels. These sanctions, combined with Russia's struggle with corruption and lack of rule of law, could be the tipping point to modify its behavior. But will this be enough?
During the roundtable, Alan Riley and Margarita Assenova discussed the latest developments in the policy debate on Nord Stream 2 and the ramifications for Russia, Europe, and the United States if the project moves forward. Externally, Nord Stream 2 is Russia's largest economic endeavor. Will this prosper given the EU's amended regulations? How far could the combination of corruption and sanctions impact the Russian economy? Would these impacts, no matter how negative, have much effect on the Kremlin's political behavior?