Stability of Azerbaijani gas exports - welcome factor in EU gas balance: Oxford Institute
Date
3/24/2022 12:09:43 AM
(MENAFN- Trend News Agency)
BAKU, Azerbaijan, March 24. Clearly the
stability of Azerbaijani gas exports is a welcome factor in the EU
gas balance, Julian Bowden, Senior Visiting Research Fellow at
Oxford Institute for energy Studies (OIES) told Trend .
Azerbaijan's ability to supply reliably into TAP from Shah Deniz
2 is a welcome factor, he added.
“EU is looking to replace Russian gas. In order to do this, is
has identified a number of supply side and demand side measures
which, in combination, would reduce the EU demand for Russian gas
imports. The EU says“Phasing-out our dependence on fossil fuels
(ie both oil and gas) from Russia can be done well before 2030”. In
the gas context, the EU is looking for significant additional
imports of LNG and pipeline gas. Talking of resource potential is
not relevant here; what the EU is looking for is the immediate
prospect of more supply. But even if Azerbaijan had immediate
supply available, how would it transport it to Europe? TAP is
operating more or less at capacity. It would need to invest in
expansion (ie compressors) to transport more gas. To my mind, there
is only one way Azerbaijan can supply more gas to Europe in the
short-term and that is to facilitate the re-export of Turkmen gas.
Longer -term, Azerbaijan needs to accelerate its upstream gas
development,” noted Bowden.
Azerbaijani gas supplies to Europe via the Southern Gas Corridor
began on December 31, 2020. The Trans Adriatic Pipeline (TAP), the
European leg of the Corridor, has recently reached the milestone of
10 billion cubic meters, which is the pipeline's full capacity.
TAP's may be expanded to transport 20 billion cubic meters of gas
per year, a decision that can be made after market tests.
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Tags:
- Azerbaijan
- Southern Gas Corridor
- natural gas
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