Romania signed an agreement to obtain supplies of Azerbaijani gas in order to secure its fuel needs in light of the efforts of European countries to dispense with Russian supplies.
The agreement, which was signed by the Azerbaijani oil company SOCAR and the Romanian company Romgaz, includes the transfer of one billion cubic meters of gas from Azerbaijan to Romania during the years 2024 and 2023, according to data seen by the specialized energy platform.
SOCAR indicated that the agreement is an extension of the documents signed between SOCAR and Romgaz on October 19 and December 16, 2022.
The transfer of energy
Romania is among the countries that have taken the initiative to support the Southern Gas Corridor. Seeing the vital role that Azerbaijani gas can play in securing energy supplies to the European Union.
Previously, Azerbaijan only supplied oil to Romania, but preparations are underway today within the framework of the new agreement to deliver Azerbaijani gas to Romania through the Southern Gas Corridor.
The agreement on strategic cooperation in the transmission of green energy, signed in Bucharest at the end of last year, indicates the broader nature of future cooperation between the two countries.
Azerbaijani gas exports to Europe
Many European countries, led by Romania, sought to sign agreements with Baku to increase the flow of Azerbaijani gas to the old continent.
European countries seek to diversify sources of supplies away from Russia in the aftermath of the Ukraine war, and Azerbaijan emerges as one of the most important sources. It is linked to several pipelines with the countries of the Union, especially the southern gas corridor.
The signed documents form a legal basis for relations between Azerbaijan and Romania in the field of energy; This expands the geography of Azerbaijani gas exports.
The documents also make an important contribution to strengthening cooperation relations between the two countries, European energy security and green energy strategy.
Renewable energy in Azerbaijan
The signing of the agreement came on the sidelines of the ninth ministerial meeting of the Southern Gas Corridor Advisory Council and the first ministerial meeting of the Green Energy Advisory Council, which kicked off today, Friday, February 3 in Baku.
Azerbaijani President Ilham Aliyev said, in his speech during the opening of the activities of the ministerial meeting of the Southern Gas Corridor, that his country enjoys huge potential from energy sources, foremost of which is green energy.
Aliyev referred to the successful cooperation between SOCAR and BP, explaining that they have had strategic relations for 30 years, and expected the cooperation to extend for the next 30 years. This supports his country’s plans to provide billions of cubic meters of natural gas in the coming years.
The Azerbaijani president made it clear that renewable energy is part of his country’s plans, referring to a number of agreements signed, including an agreement with the Saudi company ACWA Power to produce solar and wind energy on land and sea, amid plans to provide 25 gigawatts of renewable energy sources over the coming years.
He stressed that the potential of wind energy in the Caspian Sea is estimated at 157 gigawatts, while the potential of solar energy and onshore wind energy is estimated at 27 gigawatts.
He explained that his country will not only stop at exporting Azerbaijani gas to Europe, but there are plans to export clean electricity produced from renewable energy sources, through the implementation of a sea line across the bottom of the Black Sea.
Southern Gas Corridor meeting
Today, Friday, the ninth ministerial meeting of the Southern Gas Corridor Advisory Council and the first ministerial meeting of the Green Energy Advisory Council kicked off in Baku.
The opening ceremony was attended by high-level representatives from Romania, the European Commission, Turkey, Italy, the United States, Britain, Georgia, Hungary, Bulgaria, Greece, Albania, Moldova, Montenegro, Serbia, Ukraine and Croatia.
The meeting will discuss expanding Azerbaijani gas supplies to Europe and green energy by transferring the wind energy of the Caspian Sea to European energy markets.
It is planned to hold the first meeting of the presidential committee concerned with the implementation of the Strategic Partnership Agreement in the field of green energy, signed between the governments of Azerbaijan, Georgia, Hungary and Romania.
Energy Security in Europe
For her part, the Commissioner for Energy in the European Union, Cadre Simson, confirmed that the Union seeks to expand its cooperation with its reliable partners in other energy sources besides gas.
During her speech at the opening of the Southern Gas Corridor Council meeting, she said that the untapped potential of renewable energy in Azerbaijan, especially offshore wind energy, is a well-known fact; Azerbaijan has the potential to become an exporter of renewable energy and hydrogen to the European Union.
“Our Energy for Energy program is already supporting Azerbaijan to enhance grid deployment and connect it to renewable energy capabilities,” she added.
She pointed out that the European Union and Azerbaijan are cooperating very well, pointing out that the memorandum of understanding on strategic partnership in the field of energy strengthened the role of the southern gas corridor for both the European Union and Azerbaijan.
She explained that Azerbaijani gas supplies to the European Union through the Southern Gas Corridor pipeline increased from 8.1 billion cubic meters in 2021 to 11.4 billion cubic meters in 2022, which contributed significantly to energy security in the EU countries.
He stressed that while the two sides seek to increase gas supplies; The Southern Gas Corridor will remain one of the few stable and competitive sources of gas providing a pipeline to the European Union.
Azerbaijan and Europe are working to double gas export capabilities through the TAP and TANAP pipelines; In the middle of last year, the two parties signed an agreement to increase natural gas exports to the old continent.
The agreement includes expanding the southern gas corridor, to double Azerbaijani gas supplies to the European Union, and to raise its capacity to 20 billion cubic meters of gas annually, by 2027.
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