TAP to contribute to Azerbaijan’s economic security, prosperity - Ariel Cohen

Politics Materials 1 January 2021 13:19 (UTC +04:00)
TAP to contribute to Azerbaijan’s economic security, prosperity - Ariel Cohen

BAKU, Azerbaijan, Jan. 1

By Leman Zeynalova, Nargiz Sadikhova -Trend:

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, Ariel Cohen, senior fellow at the Atlantic Council and founder of the International Market Analysis LLC, told Trend.

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.

“I think that the strategic goal for this pipeline will be to put the additional compressor stations and to increase the supply of gas from the current 10 billion cubic meters a year to 20 billion cubic meters a year,” Cohen said.

Following the start of commercial operations on November 15, 2020, the Trans Adriatic Pipeline (TAP) AG confirmed on Dec. 31 the commencement of gas flows from Azerbaijan. The first gas has reached Greece and Bulgaria, via the Nea Mesimvria interconnection point with DESFA, as well as Italy, via the Melendugno interconnection point with SNAM Rete Gas (SRG).

TAP transports natural gas from the giant Shah Deniz field in the Azerbaijan sector of the Caspian Sea to Europe. The 878 km long pipeline connects with the Trans Anatolian Pipeline (TANAP) at the Turkish-Greek border in Kipoi, crosses Greece and Albania and the Adriatic Sea, before coming ashore in Southern Italy.

TAP will facilitate gas supplies to South Eastern European countries through prospective interconnectors. In particular, Bulgaria will be able to cover up to 33% of its total gas demand through TAP after the completion of the Interconnector Greece Bulgaria (IGB). TAP’s exits in Greece and Albania together with the landfall in Italy provide multiple opportunities for further transport of gas from Azerbaijan to the wider European markets.

As a key part of the Southern Gas Corridor, TAP is strategically and economically important to Europe and essential in providing reliable access to a new source of natural gas. TAP plays a significant role in boosting Europe’s energy security, supply diversification, as well as decarbonisation objectives.

TAP’s shareholding is comprised of bp (20%), SOCAR (20%), Snam (20%), Fluxys (19%), Enagás (16%) and Axpo (5%).