Nabucco and TAP gas pipelines could both be built one day -TAP

Reuters

Both of the projects vying to pipe Azeri gas to the European Union can be built but not yet, a senior official from one of them said on Wednesday.


Second pipeline could take another five-to-10 years
Decision on winning project expected by mid-2013



The governments of Albania, Greece and Italy on Wednesday signed an agreement, confirming their support for the Trans Adriatic Pipeline (TAP), one of two projects in competition to reduce EU dependence on Russian energy.

"There will be 10 billion cubic metres of gas available from Shah Deniz phase II. In that context, there can't be two large-scale pipelines built at the same time," TAP External Affairs Director Michael Hoffmann told Reuters.

"But we can have two pipelines in a sequential situation. It will only be a matter of time before more gas comes on stream from Azerbaijan, though this may possibly take another five to 10 years."

TAP is proposing a route through Albania and Greece into Italy, while the rival Nabucco West project would ship gas along a different path from Turkey's western border into a hub in Austria from whence it could be distributed.

Heavily indebted nation Greece is particularly in need of the kind of investment an energy pipeline would bring and Greek Prime Minister Antonis Samaras attended Wednesday's signing ceremony in Athens.

Turkey Approves Russian Gas Plan

Jacob Gronholt - PEDERSEN       THE WALL STREET JOURNAL

MOSCOW—Russia secured approval from Turkey on Wednesday to build the South Stream gas pipeline across the Black Sea, removing the last major obstacle to proceed with a project that could increase Europe's dependence on Russian natural-gas supplies.

The move heats up the battle between Russia and the European Union over competing pipelines, especially the European Union-backed Nabucco project, and increases pressure on Ukraine to give Moscow control of its pipeline system.

Turkey's approval, given by Energy Minister Taner Tildiz during talks with Russian Prime Minister Vladimir Putin in Moscow on Wednesday, had been a stumbling point for Russia to proceed with the offshore part of the South Stream project.

Russian state gas giant OAO Gazprom ships most of its gas exports to Europe via Ukraine, but supply disruptions in recent years due to pricing disagreements between the two countries have led Russia to seek to bypass Ukraine and promote new pipelines such as South Stream.

Caspian Pipeline Plan: Russia Slams European Union Support Of Natural Gas Project

The Huffington Post

MOSCOW -- Russia lashed out Tuesday at an offer by the European Union to broker talks between energy-rich former Soviet nations Azerbaijan and Turkmenistan aimed at creating a natural gas pipeline that would carry Turkmen fuel to the West.

Moscow's testy outburst over EU lobbying for construction of a trans-Caspian pipeline highlights Russian sensitivities over prospects that its grip on the supply of gas to Europe could be loosened.

Foreign Ministry spokesman Alexander Lukashevich said that only the five countries bordering on the Caspian had the right to settle issues regarding use of the inland body of water.

Europe is eager to diversify its gas purchases away from Russia, whose recurrent disputes with transit nation Ukraine have led to periodic cutoffs.

Western Europe relies on Russia for a quarter of its gas needs. Some 80 percent of the gas bound for Western Europe is carried through Ukrainian pipeline. A pricing dispute between Ukraine and Russia in 2009 left Europe without a key source of gas and the union is keen to diversify its supply.

On Europe’s Fringes: Russia, Turkey and the European Union

Philip Hanson*  Chatham House  

Summary points

• Russia and Turkey, significant powers on the fringes of the European Union, both have awkward relations with Brussels.

• As Russia’s and Turkey’s strength becomes greater and the EU’s declines, the relationships between them will increasingly involve political as well as economic factors. 

• Turkey is economically and politically closer to Europe than Russia is, while Russia’s relationship with Europe mainly consists of a mutual  energy dependency.

• Russia’s unpredictable business environment remains a key constraint on its deeper integration with the EU. The Turkish economy faces  challenges, but Turkey has a much better business environment than  Russia. 

• The EU’s own economic deficiencies suggest that it needs to remain circumspect in dealing with both countries. But Turkey, in particular,  should be considered more of a foreign policy partner.

*Russia and Eurasia Programme/Europe Programme

Download full paper:
http://www.chathamhouse.org/sites/default/files/0711bp_hanson.pdf

Turkey-Greece Dialogue Process

 Erhan TÜRBEDAR, PhD        TEPAV

Greek Prime Minister George A. Papandreou's speech at the Turkish Ambassadors Conference in Erzurum has triggered a new debate on Turkish-Greek relations once again. Although he gave reciprocal messages of friendship and peace with Prime Minister Recep Tayyip Erdogan, Papandreou's statements have clearly shown that Greek approach towards problems between the two countries has absolutely not changed. Besides all that Papandreou's Erzurum visit is deemed important to keep rapprochement process between the two countries alive.

The both sides had vividly expressed their political will to develop mutual relations during Prime Minister Erdogan's Greece visit in May 2010. Moreover 21 agreements had been signed in the fields of tourism, energy, environment, trade and fight against illegal immigration. Hence Turkish-Greek relations have virtually entered a new era. A fresh and softening breeze has started to blow in Turkey-Greece relations. In fact Turkey is trying to take constructive steps to convert Mediterranean and Aegean into seas of peace. Greek Prime Minister Papandreou's statements have revealed that Athens is also aware that improving relations with Turkey is of Greek interest, too. However Papandreou's statement at the Ambassadors Conference in Erzurum saying that as long as occupation of Cyprus continues Turkey will never be able to become an EU member has pointed to the fact that a healthy level on Ankara-Athens dialogue line has not been reached yet.

read & download full article:

http://www.tepav.org.tr/upload/files/1295000248-2.Turkey_Greece_Dialogue_Process.pdf