Romania can act as a vital transit nation for the transport of fuel volumes from Azerbaijan, Romania’s Minister of Energy Virgil-Daniel Popescu mentioned in an interview at the event Baku Energy Week.
“Romania and the Republic of Azerbaijan have a protracted custom in phrases of power cooperation relations. The Strategic Energy Partnership has strengthened and expanded yr by yr. During the final yr, the 2 nations had a particularly constant bilateral dialogue and signed vital paperwork concerning the implementation of some strategic power tasks. Romania
appreciates the lively participation of Azerbaijan in joint efforts to strengthen Europe’s power safety, particularly in this difficult power context, via its key position in growing the Southern Gas Corridor and its dedication to extending the Azerbaijani fuel volumes for the European market,” he mentioned.
“This will contribute to the diversification objectives included in the REPowerEU plan and assist Europe to finish its dependence on Russian fuel. In 2021, Azerbaijan delivered 8 bcm to Europe, and this year the goal is 12 bcm. This will signify virtually half of the full export, which Azerbaijan plans for this yr, on the degree of 24.5 bcm. However, Europe-Azerbaijan cooperation is way more intensive, aiming at accelerating the implementation of renewable power sources and addressing the problem of methane emissions. The EU and Azerbaijan share the formidable aim of accelerating the event and deployment of renewable power manufacturing and transmission capability to be able to maximize synergies between the EU’s transition to clean energy and Azerbaijan’s huge untapped power potential within the subject of renewable energy, particularly the offshore power sector,” mentioned the minister.
“In this manner, the Republic of Azerbaijan has been, is, and can be a dependable associate, which opened a brand new fuel provide a path for Europe, particularly via its important position within the implementation of the Southern Gas Corridor, an undertaking that should be expanded so that an increasing number of nations in Europe to profit from this invaluable fuel transport infrastructure,” mentioned Popescu.
Next steps for Solidarity Ring
The minister famous that via the fuel transport infrastructure I,t has – BRUA fuel pipeline, Iasi- Ungheni-Chisinau fuel pipeline, Trans-Balkan Corridor and the operational fuel interconnectors – Romania already features as a vital regional fuel provide node.
“Romania transports fuel for Ukraine, for Hungary and additional for Slovakia, we transport fuel for the Republic of Moldova. In addition to the operational fuel interconnectors and the BRUA fuel pipeline, the reactivation of fuel transport with the exploitation of its full
potential on the Trans-Balkan Corridor was in Romania’s consideration. Thus, by the finish of 2021, the operator of the nationwide fuel transport system TRANSGAZ has accomplished all the mandatory works to make sure the reverse circulation at the entrance to the Trans-Balkan Corridor in Romania, so that it may take over the volumes of fuel required not just for Romania, but in addition for different states within the area. Romania supported the Solidarity Ring undertaking and signed in Sofia the Memorandum on encouraging cooperation between transport and system operators from Bulgaria, Romania, Hungary and Slovakia and SOCAR. The goal of this Memorandum is to make sure unrestricted and uninterrupted entry to pure fuel produced in Azerbaijan or obtainable via terminals in Greece or Turkey, thus permitting the supply without the issue of extra fuel volumes to the states within the area. The MoU is open for different states in the area to affix, such because the Republic of Turkey, the Republic of Moldova or Ukraine, as a result of interconnection, has confirmed to be not solely a measure of solidarity, but a invaluable device for making certain power provide and safety,” he mentioned.
Popescu believes you will need to be aware that the European Commission helps member states with their diversification efforts.
“This message was expressed by Mrs Kadri Simson on the event of signing this Memorandum, underlining the significance of this doc which can present a framework for the additional improvement of other routes for fuel provide within the area. Diversification
of sources and providing routes is the important thing to strengthening nationwide and regional power safety. That is why I wish to emphasize the significance of the Trans-Balkan Corridor within the present regional power context. This Gas Corridor used to its most potential via the operationalization of the Solidarity Ring undertaking, can signify a vital provide route for a lot of nations within the area. By utilizing the infrastructure of the Trans-Balkan Corridor on its territory, Romania can act as a vital transit nation for the transport of fuel volumes from Azerbaijan, in addition from the Turkish or Greek terminals, to many nations within South-Eastern Europe and the Balkans,” he added.
Green Corridor from the Caspian Sea to the Black Sea
The minister famous that the Agreement between the governments of the Republic of Azerbaijan, Georgia, Romania and Hungary concerning the Partnership on the subject of improvement and transport of inexperienced power is a dedication of Romania to a Green Corridor, within the context of the efforts made by our nation to make sure the transition to scrub power by selling renewable energy sources.
“The development of the submarine cable as half as the inexperienced hall is vital and viable not solely as a result of an inexperienced transport Corridor between the Caspian Sea and the Black Sea is being put into apply, but in addition as a result of within the margin of the power provide diversification course of, it is a chance for your entire European continent. In the framework of research carried out by Italian marketing consultant CESI which assessed the likelihood and alternative of constructing un submarine cable between Romania and
Georgia, numerous technical and monetary features have been evaluated and offered throughout a gathering in Tbilisi. The preliminary outcomes of the research are being analyzed and assessed on the ranges of the 4 signatories, together with from the standpoint of contemplating these leads to the framework of extra prolonged research that was proposed to be carried out and that may transcend the development of the submarine cable, assessing the potential of producing and absorbing inexperienced power within the 4 signatories nations and in Europe,” he defined.
Expanding SOCAR’s enterprise in Romania
“We are glad to see that Romania is among the many precedence instructions of SOCAR enterprise improvement, not solely within the space of retail operations, but now additionally within the transmission of Azerbaijani fuel volumes in Romania and to different European markets, through Romania. Until now, SOCAR Romania owns numerous 66 personal stations and operates 3 warehouses: Teiuș, Onești and Constanța. SOCAR affords an intensive variety of services and products within the subject of fuels, lubricants, petrochemicals and bitumen commerce, turning into one of many vital gamers in the Romanian gasoline distribution and petroleum product buying and selling market” mentioned Popescu.
More than that, because the minister recalled, ROMGAZ and SOCAR signed in June 2022, an MoU via which the businesses suggest strengthening power cooperation relations and discovering new collaboration alternatives to be able to implement mutually helpful tasks within the power subject.
“Also, Romania and Azerbaijan propose to discover, based mostly on an MoU signed in October final yr between SOCAR and ROMGAZ corporations, the alternatives for the joint improvement of a liquefied pure fuel undertaking within the Black Sea, an undertaking that may assist the strategic security targets within the provide of pure fuel and diversification of sources for Romania, but in addition the potential of the Republic of Azerbaijan as a vital fuel provider for Europe. Romania suggests to the SOCAR firm to investigate the alternatives to broaden the fields of exercise in Romania, within the mild of the new European paradigm in the direction of acquiring power from sources with low carbon emissions, by bearing in mind potential investments in electrical energy manufacturing utilizing pure fuel. At the identical time,
one other course of cooperation of curiosity for Romania that SOCAR may analyze is the sale of petrochemical merchandise, manufactured on the amenities owned by SOCAR in Azerbaijan and Türkiye, on the Romanian market. In this context, the Romanian Side expressed curiosity, particularly for chemical fertilizers, essential for the Romanian agricultural sector,” he mentioned.
Gas contract between Azerbaijan and Romania
Popescu recalled that ROMGAZ and SOCAR entered into contractual preparations beginning at the start of this year.
“Such contractual preparations fashioned the idea for a constructive joined work and proved to be a brand new milestone for strengthening the great cooperation relationship between the two corporations. Therefore, we’re assured that such cooperation will be prolonged past 2024, not solely by coming into new fuel provides contracts but in addition into different potential tasks of mutual interest”, he concluded.