Because of the conflict in Ukraine, foreign politicians and experts are again discussing the topic of laying the Trans-Caspian gas pipeline, which will allow transporting large volumes of Turkmen gas through Azerbaijan to the EU.
For Europe, Turkmen gas appears to be the smart choice needed to fill the shortfall in Russian “blue fuel”.
The issue of building a gas pipeline has been discussed for a long time. Despite another revival of the topic of transit of Turkmen gas to Europe, the problem of laying the Trans-Caspian gas pipeline has not yet been resolved.
At a March meeting with the heads of leading German companies in Berlin, Azerbaijani President Ilham Aliyev noted that Baku is ready to provide the necessary gas transit for its Western friends and partners in the Caspian, if they decide to build this gas pipeline. At the same time, he emphasized that the source of financing for the grandiose project has not yet been determined. It is not clear who will take on the burden of building a gas pipeline with a capacity of 30 billion cubic meters. m per year, whether it will be the money of European companies or the EU. As a result, the further route of the Turkmen gas is not known.
The existing Trans-Anatolian Gas Pipeline (TANAP), which pumps Azerbaijan's "blue fuel" through Georgia and Turkey to Europe, lacks the necessary capacities. With its expansion from 16 billion cubic meters. m to 32 billion cubic meters. m through the construction of TANAP compressor stations, it is also planned to completely fill it with Azerbaijani gas. Such an opportunity will appear if a source of financing for the new project is determined.
It is reasonable to conclude that the Trans-Caspian gas pipeline project will still remain on the political agenda and will not move to the stage of practical implementation. Moreover, it is hardly profitable for Europeans to enter into long-term gas contracts for the supply of Turkmen gas for decades to come in order to compensate investors for the costs of building this expensive gas transportation infrastructure in the context of increasing LNG purchases in the EU and the task of an early transition to green energy.
CentralasianLIGHT.org
April 20, 2023