Azerbaijan, Baku, 10 November/ Trend , corr A. Badalova/ The Nabucco gas pipeline project will ensure competition in the European gas market and increase security of energy supplies, Andris Piebalgs, EU Energy Commissioner said.
"The project Nabucco is a big competition in the market, more security of energy supplies and at last, more gas," according to the speech of Piebalgs, posted on his official website.
European gas production is diminishing, and in consequence our import dependency on Old World is growing. Europe imports most of the rest from three countries that for more than 30 years have proven to be reliable suppliers: Russia, Norway and Algeria, Piebalgs said.
The EU's internal market for gas is becoming a reality and we need as many sources as possible to guarantee competition and freedom of choice for European consumers, he said.
Growing demand will put existing infrastructure under strain and we need alternative sources and routes to assure vital supplies in case of crisis such as accidents, he added.
Nabucco is not targeted against traditional suppliers of Europe, he said.
"The European Commission continues to actively support Nord Stream pipeline and does not oppose South Stream. The Commission also actively supports the update of the Ukrainian transit pipeline system, the development of two new pipelines from Algeria (Galsi and Medgas)," Piebalgs said.
The Commission pursues a determined diversification policy in parallel to an increasing cooperation with our traditional suppliers, Piebalgs noted.
Construction of Nabucco pipeline with an estimated cost of $12.4bln is expected to begin in 2010. A pipeline is planned to be laid between Turkey and Austria with a length of 2,000km. Later on, already existing pipelines near Turkey-Georgia and Turkey-Iran borders will be involved. It will enable to put the pipeline into operation by 2013 with a preliminary capacity of 8bln cu m of gas a year. Nabucco shareholders are the Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE.
Nord Stream is a planned natural gas pipeline from Russia to Germany through the bottom of Baltic Sea. The capacity of the pipeline is planned to total to 55bln cu m of gas a year. The operator of offshore part of the pipeline is Nord Stream AG. Nord Stream shareholders are Gazprom - 51%, Wintershall - 20%, Gasunie - 9 %.
South Stream is a proposed gas pipeline to transport Russian natural gas to Italy through the bottom of Black Sea from Novorossiysk to the Bulgarian port of Varnu. The 900 kilometres (560 mi) long offshore section of South Stream would start from the Beregovaya compressor station at the Russia's Black Sea coast, and would run to Bulgaria's Varna. The pipeline route will cross the continental shelf of Ukraine and Romania. This section would be built and operated by South Stream AG, a joint company of Gazprom and Eni. The capacity of the project is expected to make up 30bln cu m a year. The maximum depth of laying is 2,000. Total volume of investments in the project is estimated at over $10bln.
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