Gerhard Schröder, the former German chancellor, is to be a director of a Russian-German pipeline consortium controlled by Gazprom, the Russian state-controlled gas group said on Thursday.
Anti-corruption activists said his appointment to the supervisory board of the $5.7bn (€4.8bn) North European Gas Pipeline would rekindle debate in Germany about possible conflicts of interest for retired politicians who move into business.
Hansjörg Elshorst, head of the German section of the Transparency International corruption lobby group, said: “Is Schröder giving his elder-statesman backing because he believes in the political significance of the venture? Or is he being rewarded for supporting the deal earlier? The latter would be unacceptable, but either way he has to come forward and explain.”
This week Transparency International called for a “cooling period” for holders of political office who switch to business.
As chancellor Mr Schröder backed the Baltic pipeline, which he deemed essential for ensuring German energy supplies. It will carry gas directly to Germany via the Baltic seabed from 2010.
Mr Schröder, with Vladimir Putin, the Russian president, attended the signing of the contract in Berlin on September 7, some 10 days before the election that ended his second term. The opposition criticised Mr Putin’s visit as endorsement of the chancellor’s re-election bid. Mr Schröder, a friend of Mr Putin, whom he once called a “dyed-in-the-wool democrat”, was criticised for failing to consult neighbours that opposed the project.
The pipeline, 51 per cent owned by Gazprom, with Eon and Wintershall each owning 24.5 per cent, is the most ambitious Russian-German business project in recent years. The ground-breaking ceremony was held yesterday in Babajewo, 400km from Moscow, with Michael Glos, economics minister, representing the new German government.
Mr Schröder’s office confirmed his appointment but he was not available for comment and no information on pay was given. A person close to the consortium said: “He would not be doing this for the money.” Since stepping down four weeks ago Mr Schröder has announced that he would act as “media adviser” to Ringier, the Swiss publisher.
Several members of the outgoing government have taken up business positions. Wolfgang Clement, the former economics minister, is now a non-executive director at Dussmann, a family-owned logistics group, while Hans Martin Bury, formerly junior minister for Europe, has joined Lehman Brothers.
Additional reporting by Arkady Ostrovsky in Moscow
