German Chancellor Olaf Scholz has said the gas pipeline project cannot go ahead now in these crisis circumstances. He said the approval process has been halted.

This was reported by Deutsche Welle.

Thus, according to Scholz, his government was taking the measure in response to Russia's actions in Ukraine.

"That sounds technical, but it is the necessary administrative step so there can be no certification of the pipeline and without this certification, Nord Stream 2 cannot begin operating," Scholz said.

The White House has welcomed Scholz's announcement and said it would be following up with measures of its own.

The German chancellor labeled Russian President Vladimir Putin's recognition of the separatist territories in eastern Ukraine "unjustified and incomprehensible."

Speaking at a joint press conference with Irish Prime Minister Micheal Martin, Scholz said Moscow needed to be held to account for its actions.

"Now it is down to the international community to respond to this unilateral, unjustified and incomprehensible action taken by the Russian president. We need to coordinate our approach … in order to send a clear signal to Moscow that activities of this kind cannot remain without consequences."

Scholz said Germany's energy needs would need to be reassessed by the relevant government authority.

"The department of the German ministry of economics will reassess the security of our supply needs in light of what has taken place."

The German chancellor continued to push diplomacy as a way of averting what he called a "disaster."

"In this phase it is important, apart from initial sanctions, to prevent a further escalation and with it a disaster. All of our diplomatic efforts will be aimed at achieving this."