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Reuters
Reuters
Politics
By Miranda Murray, John Irish and Michel Rose

French, German meeting postponed as cracks emerge over energy, defence

FILE PHOTO: The flags of Germany, France and the European Union are seen in front of the the Chancellery, before the meeting between German Chancellor Angela Merkel and French President Emmanuel Macron in Berlin, Germany May 15, 2017. REUTERS/Hannibal Hanschke

The French and German governments have postponed a meeting planned for next week until January, officials said on Wednesday, after what sources told Reuters were divisions including over energy policy and defence.

European countries have emphasised the need to stay united after Russia's invasion of Ukraine in February but their unity has been tested by an energy crisis that has pummelled major Western economies.

French officials have expressed frustration with what they say has been a series of unilateral decisions by Germany, including a 200 billion euro energy package unveiled by Berlin without advanced warning to Paris.

Paris has opposed an initiative pushed by German Chancellor Olaf Scholz and Spain to build the new MidCat gas pipeline across the Pyrenees to replace dwindling Russian supplies.

France also looked askance at German-led moves to procure air defence systems including from the United States instead of sourcing them from Europe.

A German government spokesperson told a briefing both sides had decided that the postponement made sense due to logistical issues and bilateral discussions that needed more time to reach an agreement.

A French presidency official echoed Berlin's comments, saying the two sides needed "more time" to reach agreements on issues including energy policy and defence cooperation.

"There is a common desire to have something more ambitious ... on defence and how we align European sovereignty with the needs and choices that have been made and on energy questions to see with the Germans how we build a European sovereign strategy," the official told reporters.

The official played down suggestions of any rift between Berlin and Paris, as did French Finance Minister Bruno Le Maire, who blamed the postponement on "the agendas of some ministers but has nothing to do with any political difficulties".

German sources told Reuters that French President Emmanuel Macron had wanted a more ambitious agreement to be concluded at next week's meeting, which had been due to take place in Fontainebleau, south of Paris.

FRENCH FURY

Some French diplomats have said that criticising Germany publicly is counter-productive and not a vote-winner with Macron's pro-European voter base. But others say they feel Germany is throwing its weight around and taking decisions that are sometimes against French interests.

France generates most of its electricity with nuclear power and is far less dependent than Germany on natural gas. But French officials say they worry that the 200 billion euro German plan could distort the European market because other countries do not have the same means to protect their citizens.

France also believes the proposed MidCat pipeline would take too long to build to ease the looming energy crunch, would be costly for France and would contradict efforts to move towards a green economy.

Officials in Spain and Germany, speaking on condition of anonymity, have told Reuters they believe that France is acting to protect its own ailing nuclear industry and fend off competition from Spain as a staging post for imported gas.

The French are angry "with the Germans, especially Scholz. They aren't saying it in public but they are furious in private," said a European source in contact with the French government.

"The Germans are doing what the French are often accused of: making decisions without consulting its partners to serve their interests."

France and Germany were also embroiled in a dispute over nuclear energy in a debate last year, with Germany opposing France's efforts to have nuclear labelled as 'green' by the European Union.

($1 = 1.0231 euros)

(Reporting by Miranda Murray, Andreas Rinke, John Irish, Michel Rose, Tassilo HummelWriting by Matthias WilliamsEditing by Alexandra Hudson, Peter Graff and Gareth Jones)

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