Nea Mesimvria

Since the start of the year, wholesale gas prices in Europe have risen by 250 percent. The record-high prices in Europe are driven by increased demand (due to the wider economic recovery and weather-related factors), competition with Asia for LNG, and a limited supply response from Gazprom, Europe’s largest supplier, providing about a third of Europe’s gas. The current gas supply crunch in Europe once again showed the importance of diversification of gas supply routes and sources.

Southern Gas Corridor may help to resolve some regional and global energy issues, Trend quoted Kurt Donnelly, Principal Deputy Assistant Secretary, Bureau of Energy Resources, U.S. Department of State, as saying.

Addressing the 5th Annual Trans-Caspian Forum, Donnelly noted that for decades now there have been repeated efforts to find a way to include Turkmenistan gas into the Southern Gas Corridor or in other ways to be exported to markets in Europe.

Following the commencement of gas flows via TAP in December 2020, the Trans Adriatic Pipeline AG announces that a total of 1 billion cubic meters (bcm) of natural gas from Azerbaijan has now entered Europe via the Greek interconnection point of Kipoi, where TAP connects to the Trans Anatolian Pipeline (TANAP), reports TAP AG.

The opening of the Trans Adriatic Pipeline (TAP) is great step forward for Azerbaijan because it will bring approximately $1 billion a year growth in revenue for Azerbaijan every year and will contribute to the country’s economic security and prosperity, stated Ariel Cohen, senior fellow at the Atlantic Council and founder of the International Market Analysis LLC.

Cohen said TAP will bring the Caspian gas from Azerbaijan to Europe via Georgia and Turkey and thus will diversify the sources of natural gas in Europe.