Turkish Stream: funding problems, not Ankara-Moscow tension

Turkish Stream: funding problems, not Ankara-Moscow tension

Baku, Azerbaijan, Feb. 4

By Aygun Badalova - Trend:

The implementation of the Turkish Stream gas pipeline project is in the interests of both Turkey and Russia, Agnia Grigas energy and political risk expert, nonresident Senior Fellow at the Atlantic Council, the author of new book "Beyond Crimea: The New Russian Empire", believes.

"Turkey's energy consumption is rising and Russia provides more than half of Turkey's gas imports. Thus, naturally there is interest in Ankara to continue discussions for Turkish Stream gas pipeline project that offers a direct route for gas from Russia to Turkey," Grigas told Trend.

This week Turkish Deputy Chief of Mission to the United States Tugay Tuncer told Sputnik that Turkey is willing to hold discussions with Russia to solidify plans for the Turkish Stream gas pipeline.

"We see this [Turkish Stream] as a commercial deal. If the Russians want to talk, we can come and we can talk," Tuncer said.

Under perfect circumstances, Russia would also like to see Turkish Stream project implemented, according to Grigas.

"Turkey is the second largest European market for Russian gas exports and its needs are increasing while the demand for Russian gas in other European markets is slowing if not outright declining," Grigas said.

In 2014, Turkey was the second largest importer of Russian gas after Germany - Ankara purchased 27.3 billion cubic meters of gas from Russian Gazprom.

Moreover, Grigas said, Russia is determined to reduce flows of gas via pipelines through Ukraine and thus wants to pursue projects like Nord Stream II and Turkish Stream.

However, financially, times are tough for Russia and implementing the Turkish Stream project will be difficult, according to Grigas.

"Moscow's pointing to the recent tensions with Ankara as the main reason for slowing down the Turkish Stream project is perhaps just a way of saving face when the costs of currently implementing it would be difficult for Russia to bear," Grigas said.

The Turkish Stream project, which envisaged the construction of a gas pipeline from Russia to Turkey through the Black Sea, had been put on hold by Russia on Dec. 3, 2015. The negotiations on the project's imlementation have been stopped following the deterioration of the Russian-Turkish relations after Turkish Air Force jets shot down the Russian SU-24 bomber when it entered Turkish airspace Nov. 24.

In December 2015, Russian President Vladimir Putin said the project will be implemented in case Turkey obtains guarantees from Brussels.

Speaking about the possibility for improvement of the Russia-Turkey relations, Grigas said that in the recent past, Turkey and Russia have been friends only out of necessity due to their common energy interests.

"Russia has also been trying to win over Turkey due to its strategic geographic role in energy transit in relation to Europe, the Black Sea and the Caspian regions," she said.

"At the same time, distrust between the two countries goes back hundreds of years and they have competing interests in Syria and the Middle East," she added.

While relations between Ankara and Moscow may improve there will always be underlying tensions and distrust, Grigas believes.

Iran shares data on its package for support of non-oil exports
Iran shares data on its package for support of non-oil exports
Cargo movements in Iranian ports up
Cargo movements in Iranian ports up
Iran's Energy Exchange announces products to be on sale July 31
Iran's Energy Exchange announces products to be on sale July 31
Loading Bars
Latest
Total assets of Int'l Bank of Azerbaijan grow in 2Q2021
Azerbaijan working to approve boundaries of Bershbarmag mountain security zone
Armenia creating incidents on border with Azerbaijan to evade obligations under trilateral statement - analyst
Newly-created Azerbaijani insurance company becomes member of AIA
Signify focusing on cybersecurity of products, systems, services - Eric Benedetti
Destroyed houses in Azerbaijan's Fuzuli - very depressing sight - Moscow Bar Association member
Trade-economic contacts between Baku, Minsk maintained despite COVID-19 - Belarusian speaker
Azerbaijan provides necessary equipment for work with livestock on liberated lands
Turkey discloses 1H2021 volume of cargo shipment through Ambarli port
Oman extends nightly COVID-19 lockdown
With strong sales, Tesla defines Israel as priority market
International Bank of Azerbaijan sees growth of 2Q2021 liabilities
Kazakhstan twofold increases exports to Poland
Uzbekistan eyes building copper-processing plant at mining and metallurgical complex
Ford raises 2021 profit outlook, eyes shift to build-to-order
Iran shares data on its package for support of non-oil exports
Opening of Azerbaijan's trade mission in Israel - historic event - ambassador
Kyrgyzstan, Japan discuss cooperation in IT sphere
TotalEnergies sees decrease in hydrocarbon output for LNG
Turkmenistan's Dashoguz region preparing for wheat crop sowing
France decreases import of Kazakh-made goods amid COVID-19
Japanese corporation interested in production of ‘green hydrogen’ in Georgia
Azerbaijan inaugurates trade representative office in Israel's Tel Aviv
TotalEnergies to spend 50% of growth investments on renewables, electricity
Turkmenistan boosts import of chemicals from Turkey
Terrorism is the most serious threat to international peace: Rajnath Singh at SCO meet
Indian Navy's new submarines will cost $1 bn each
Antony Blinken, PM Modi Discuss Efforts To Deepen US-India Global Partnership
Few relationships globally more vital than US partnership with India, says Blinken
US Secretary of State expresses gratitude towards India for providing assistance in COVID pandemic
Lending activity in Azerbaijan gradually recovering - Russian expert
Oil prices to retreat to $65-$70/b range in 2022
Turkey sees increase in clothes export to Uzbekistan
Apple's net profit almost doubles in 3Q2021
Global oil demand to surpass 2019 levels in Q4 2022
Turkish Yenisafak online newspaper starts publishing articles of Trend News Agency in English (PHOTO)
Oil market to face deficit in 2021, shift to surplus in 2022
Turkish company to build gas piston power plant in Uzbekistan’s Khorezm region
Turkmenistan's Turkmengas opens tender for turnkey construction of gas chemical plant
Russia organizes another charter flight from Turkmenistan
Winner of tender announced by Azerbaijan's Treasury Agency for repair services disclosed
Cargo movements in Iranian ports up
Azerbaijani oil prices increase
Baku Metro opens tender to purchase aluminum tires, cable lugs
Azerbaijan Army complying with ceasefire in Kalbajar direction - MoD
Iran's Energy Exchange announces products to be on sale July 31
Azerbaijan notes growth in precious metals prices
Shell may need to curtail oil & gas production in Q3
Azerbaijani currency rates for July 29
Co-op of Azerbaijan's Accounts Chamber with WB yields good results
Azerbaijan reveals total volume of mortgage loans issued since 2006
Turnover on payment cards grows in Azerbaijan
Number of payment cards in Azerbaijan continues to grow - Central Bank
ECO Park in Tehran - symbol of common cultural traditions of member states - ambassador
Trial on criminal case of another Armenian sabotage group underway in Baku
Austria to organize trade mission to Azerbaijan
Israeli remote IT management co Atera raises $77m
Airbus raises forecasts after strong first half
US condemns recent escalation of violence along border between Armenia, Azerbaijan
Georgia reveals compensations provided to citizens unemployed due to COVID-19
Six BHOS graduates receive scholarships from German government
Turkey announces company eligible to reserve spot Caspian gas
Non-energy goods - main trade products of Azerbaijan and Russia - ministry
Russian Defense Ministry signs contract on first 10 S-500 air defense systems
Uzbekistan publicizes COVID-19 data for July 29
Kazakhstan’s KazTransOil opens tender for electrical distribution equipment repair
Azerbaijan identifies measures to create green energy zone
Azerbaijan’s Baku Telephone Communications, AZinvest Telecom Technology sign contract
Oil edges higher on inventory drawdowns, Brent tops $75 a barrel
Facebook reports Q2 results with doubled net income
Croatia, Azerbaijan have great potential for co-operation in renewable energy sphere – minister (Interview)
Boeing reports Q2 results with 44 pct revenue increase
Samsung expects strong chip demand to continue in H2 after robust Q2 results
Armenia again violates ceasefire by shelling positions of Azerbaijani army - MoD
Portuguese gov't releases 320 mln euros to help companies recover
Hanwha Life Insurance net more than doubles in Q2
All EU member states committed to building quantum communication infrastructure
WHO reports "sharp" increase in COVID-19 deaths
Canada's building construction prices rise in second quarter
WHO chief says to enhance cooperation with Kuwait
France's new health pass rules to enter into force on Aug. 9
India sends another Oxygen Express to Bangladesh
India To Have Submersibles That Can Carry Scientists To Depth Of 6,000 Metres Into Sea - Minister
Dr Reddy's Says Made-In-India Sputnik V Doses To Be Available From September-October
Indian Astronomers On Team Which Spotted Shortest Gamma-Ray Bursts From Dying Star
Iran, Austria stress judicial, human rights cooperation
Need effective mechanism to address global vaccine inequity - India in UNSC
Harappan city of Dholavira in Kutch among UNESCO’s world heritage sites
Bipartisan group of U.S. senators reportedly agree on infrastructure package
US supports India's emergence as leading global power - State Department
Defence Minister Rajnath Singh begins 3-day visit to Dushanbe to attend SCO meet
Turkey notes substantial growth in car exports to US
Uzbekistan's 1H2021 main exporters revealed
U.S. crude oil inventories decrease last week
Azerbaijani FM talks with US Assistant Secretary of State
Uzbekistan’s Khorezm region accounts for largest share of fish caught
Georgia begins large-scale co-financing program for agricultural mechanization
Turkmenistan, Tajikistan sign protocol of tenth meeting of the intergovernmental commission
Turkey reports 22,291 new COVID-19 cases
Friendship, fruitful partnership between Azerbaijan and Israel - solid foundation for development of relations – Minister
All news