Photo: The Canadian Press
The Minister of Foreign Affairs, Melanie Joly.
The Liberal government faced accusations Thursday of fueling Vladimir Putin’s war machine by returning pipeline equipment to Montreal for repairs to a Russian energy giant.
Ukraine’s ambassador and conservative critics argued that Canada’s decision to return the turbine means more funds will be injected into Russian state-controlled Gazprom, and in turn will allow the country’s president buy more weapons to attack Ukraine.
The allegations were made during heated exchanges at a parliamentary committee meeting where Foreign Affairs Minister Melanie Joly and Natural Resources Minister Jonathan Wilkinson gave evidence about the decision to return the equipment.
Last month, the Liberal government came under fire for granting Siemens Energy an exemption from sanctions against Russia and for allowing the turbine to be returned for installation on the Nord Stream 1 pipeline, which carries natural gas to Germany.
The permit allows Siemens to import, repair and return up to six turbines for Gazprom.
Ukraine’s ambassador Yulia Kovaliv called on Canada to reconsider its decision on the other five turbines, which she said could lead to more financial support for the Russian military.
Kovaliv said Ukraine is grateful to Canada for its steadfast support since the Russian invasion, but said its decision to waive its sanctions regime to allow the turbine’s return has set a dangerous precedent and has already strengthened Moscow’s sense of impunity.
The ambassador said the decision marked a slippery slope and allows Russia to turn energy into weapons while giving Putin “grounds for more blackmail”.
He said Canada repairing and returning additional turbines will be “turned into tools of humiliation by Russia and you don’t have to take the bait.”
She warned against appeasement of Putin’s “energy blackmail” and called on Canada to revoke the permit, adding that gas could be pumped into the EU through a pipeline in Ukraine.
Speaking after the meeting, Kovaliv denied that Putin had managed to divide allies supporting Ukraine over the turbine issue and said they remain “united”.
German Ambassador Sabine Sparwasser said it was only after much inquiry that Germany asked Canada for a waiver of its sanctions to return the turbine, which was being repaired in Montreal. He said his country was very grateful to Canada for doing so.
The turbine was first shipped to Germany and is supposed to eventually go to Russia, but it remains in Sparwasser’s country. He said that Putin is using it as an excuse to limit the gas supply and that Russia does not want to collect it even though it is in perfect condition.
Since then, Russia has reduced the flow of the pipeline to 20% of its capacity. Kremlin spokesman Dmitry Peskov has said Gazprom needs documents from Siemens Energy showing the equipment is not subject to Western sanctions before it can be returned to Russia.
Asked during the hearing whether Canada should cancel the permit for the other five turbines if Russia does not pick up the repaired one, the ambassador said: “We’ll see what happens.”
He said Germany did not want to fall into Putin’s “trap” and was working hard to reduce its reliance on Russian gas to heat homes, including seeking liquefied natural gas and green hydrogen in Canada as energy sources in the future
The EU’s ambassador to Canada, Melita Gabric, accused Russia of using energy supplies as a “weapon” against EU states.
Germany has reduced its dependence on Russian natural gas from 55 percent to 26 percent and is stockpiling fuel for next winter, he said.
Conservative MP James Bezan told the committee that Canada had been “outmaneuvered by the Russian Federation.”
He said it looked like Putin was playing chess while Canada was playing checkers, and accused the Liberal government of “enabling” Gazprom, which would give Russia more funds to buy weapons to kill Ukrainians.
“It’s shameful that the government of Canada is capitulating,” he said.
Alexandra Chyczij of the Ukrainian-Canadian Congress told MPs that the decision to return the turbines was “the tip of the wedge” and the first exemption from sanctions since Russia’s invasion of Ukraine in February.
He warned that “appeasing dictators” never works and only “emboldens them”.
But Foreign Minister Melanie Joly denied that Canada was capitulating and insisted that it was rather being called Putin’s bluff. He said returning the turbine denied Putin a pretext to reduce the flow of natural gas through the pipeline.
Natural Resources Minister Jonathan Wilkinson echoed that sentiment, saying exposing Putin’s dishonesty had always been a reason for the decision.
Germany’s ambassador also said that calling Putin’s bluff had been one of the reasons for the decision, as well as wanting to “test” whether returning the turbine would increase gas flows from Russia.
But Conservative MP Marty Morantz pointed out that the Liberal government did not use that language when the decision was first made. He questioned when he decided the reason was to call Putin’s bluff, rather than to secure gas supplies to Europe.
Conservatives also questioned whether the government had actively explored the alternative of channeling gas through pipelines through Ukraine.
Wilkinson said the option had been studied in detail but was not considered viable, particularly because the Ukrainian pipelines passed through a war zone. He added that Canada was working closely with European nations to help them stop relying on Russian energy to heat their homes, including plans to source natural gas from Canada.
Both Wilkinson and Joly said the decision was made after extensive consultation, including with Ukraine, and that it was difficult.
Wilkinson said the intent of the sanctions imposed after the Russian invasion of Ukraine is to punish Putin and not to punish Canada’s allies in Europe.
Joly said the government was firmly committed to continuing sanctions to squeeze Putin and planned new rounds every two weeks.