Support The Moscow Times!

Germany's Uniper Awarded 13 Bln Euros for Lost Russian Gas

Ina Fassbender / AFP

German energy giant Uniper said Wednesday a tribunal had awarded it over 13 billion euros ($14 billion) in damages from Russian state energy company Gazprom for its failure to deliver gas.

The ruling gave Uniper "the right to terminate the contracts and awarded it an amount of more than 13 billion euros in damages for the gas volumes not supplied," the company said in a statement.

It was not clear, however, "whether significant amounts are to be expected" from Gazprom, CEO Michael Lewis said.

Gazprom steadily dwindled gas supplies to Germany following Moscow's 2022 invasion of Ukraine in apparent retaliation for Western sanctions on Russia.

The diminishing volumes sent gas prices soaring, pushing Uniper  Germany's biggest importer of the fuel to the brink of bankruptcy.

Uniper reported a net loss of 40 billion euros for the first nine months of 2022, one of the biggest losses in German corporate history.

With Russian supplies slashed, Uniper has been forced to pay high prices on the open market.

The German government stepped in to nationalize Uniper over fears its failure could send shockwaves through Europe's top economy.

Uniper initiated legal action against Gazprom at the Stockholm-based tribunal in November 2022 over the Russian company's failure to deliver agreed volumes of gas.

Although Gazprom completely stopped supplying Uniper with gas in August 2022, the supply contracts "were still legally in force and...  would have continued to exist until the mid-2030s," Uniper said.

The tribunal's ruling provided "legal certainty," CEO Lewis said.

Any damages payments from Gazprom "would flow to the German federal government," which bailed out the company, Lewis added.

Sign up for our free weekly newsletter

Our weekly newsletter contains a hand-picked selection of news, features, analysiss and more from The Moscow Times. You will receive it in your mailbox every Friday. Never miss the latest news from Russia. Preview
Subscribers agree to the Privacy Policy

A Message from The Moscow Times:

Dear readers,

We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."

These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.

We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.

By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more