Nabucco Project Support Agreement signed in Turkey
Azerbaijan, Baku, June 8 / Trend A.Badalova /
The legal framework for the Nabucco Pipeline has been finalized today with the signing of the Project Support Agreements (PSAs) between NABUCCO Gas Pipeline International GmbH and the responsible ministries of the five transit countries (Austria, Bulgaria, Hungary, Romania and Turkey) in Kayseri, Turkey, the consortium reported.
Managing Director of the Nabucco Gas Pipeline International GmbH Reinhardt Mitschek said the signing of the PSAs is a further vital milestone for our project and cements the partnership with the governments of the transit countries.
Today also marks the first meeting of the Nabucco Political Committee, which will ensure effective coordination between the transit countries, he added.
The committee will deal with the issues of execution of an intergovernmental agreement signed in 2009 by the transit countries of the project, and Nabucco support agreements. The committee will also engage in addressing of any other issues that may be raised by the participating countries regarding the project.
The main elements of the PSAs are the affirmation of an advantageous regulatory transit regime under EU and Turkish energy law; the protection of the Nabucco Pipeline from potential discriminatory changes in the law; and support for legislative and administrative actions for the further implementation of the project. The PSAs also mark a commitment by each government to support the project.
Nabucco project envisages gas supplies from the Caspian region and the Middle East to the EU countries. The pipeline's maximum capacity will hit 31 billion cubic meters per year. Participants of the project are Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE companies. Each of participants has equal share to the amount of 16.67 percent.
In early May, the Nabucco Gas Pipeline International GmbH announced the postponement of the project. Construction was postponed to 2013 and first supplies to 2017.