Particle.news
Download on the App Store

German Government Puts RostockSchwedt Pipeline Upgrade Under Review

Stalled EU approval, with a broader 2026 budget line, puts the planned €400 million upgrade at risk for Schwedt’s crude feed.

Overview

  • The federal economics ministry has begun a formal re-evaluation of the RostockSchwedt pipeline and paused talks with the European Commission over state aid, the government disclosed after reporting first surfaced on Tuesday.
  • Up to €400 million had been pencilled in for the upgrade, but the 2026 budget line was broadened so those funds can be used for other energy‑security or innovation projects if the pipeline plan cannot secure EU approval.
  • Officials say PCK Raffinerie’s output and fuel supplies remain stable, with utilization reported around 80–90 percent, supported by alternative imports such as tanker deliveries routed through Gdańsk.
  • The pause has intensified political pressure, with critics including Left party MP Christian Görke saying the decision effectively cancels the capacity increase and renewing calls for state acquisition to secure the site.
  • The issue traces to Rosneft’s 54 percent stake in PCK, the plant’s placement under federal trusteeship after 2022, EU rules barring aid that would benefit the Russian company, and a May halt to Kazakh transit via the Druzhba pipeline that removed roughly one‑fifth of PCK’s feed.