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Christian Dolezal: â€œImportant decisions on Nabucco project are expected to be adopted, this yearâ€

11 January 2011 14:52 (UTC +04:00)

According to him, this is why the EU needs to build on its relationships with potential source countries for Nabucco, such as Azerbaijan and Turkmenistan. With Central and Western Europe facing a considerable shortfall in its energy supply over the next two decades and gas prices expected to increase as domestic production declines, unlocking untapped supplies and transporting them to Europe will be of utmost importance.

He also noted that, Nabucco - the most competitive pipeline in the southern corridor â€“ would help diversify Europeâ€™s energy sources and secure its supply by transporting gas from the Caspian region through Turkey to the EU market, benefiting not just consumers in Europe but also the transit countries and source regions in Central Asia.

Note that, European Commission President Jose Manuel Barroso and EU Energy Commissioner GÃ¼nther Oettinger will visit Azerbaijan, on January 13. THey will meet with Azerbaijani President Ilham ALiyev. All aspects of Azerbaijan-EU relations, including energy issues will be discussed at the meeting. Several documents are expected to be signed, during the visit. Jose Manuel Barroso will meet with Pm Artur Rasizadeh. He will leave for Turkmenistan, on January 14.

Remind that, the Nabucco pipeline (also referred as Turkeyâ€“Austria gas pipeline) is a proposed natural gas pipeline from Erzurum in Turkey to Baumgarten an der March in Austria diversifying natural gas suppliers and delivery routes for Europe. The pipeline attempts to lessen European dependence on Russian energy. The project is backed by several European Union states and the United States and is seen as rival to the Gazprom-led South Stream pipeline project. At the same time, there are some doubts concerning viability of supplies. The main supplier is expected to be Iraq in cooperation with Azerbaijan, Turkmenistan, and possibly Egypt.[1]

Preparations for the Nabucco project started in 2002 and the intergovernmental agreement between Turkey, Romania, Bulgaria, Hungary and Austria was signed on 13 July 2009. The project is developed by the consortium of six companies. The final investment decision is scheduled to be made in 2011. If built, the pipeline is expected to be operational by 2015 and it will carry 31 billion cubic meters of natural gas per year.