TAP to contribute to Albania’s economic growth in 2017, 2018
Baku, Azerbaijan, Nov.21
By Leman Zeynalova – Trend:
The Trans Adriatic Pipeline (TAP) project, which envisages transportation of Azerbaijani gas to Europe, will contribute to Albania’s economic growth in 2017 and 2018, according to the Transition Report of the European Bank for Reconstruction and Development (EBRD).
The TAP is a vital project for Albania as it contributes to energy diversity and regional integration, said the bank.
“Growth of 3.7 percent is expected in 2017, staying at the same level in 2018, on the back of private domestic demand and major construction work on large energy-related foreign direct investment (FDI), such as TAP,” said the report.
The investment in Albania’s section is expected to amount to about 1.5 billion euros over six years, and up to 450 million euros in 2017 alone, according to EBRD.
TAP is a part of the Southern Gas Corridor, which is one of the priority energy projects for the European Union. The project envisages transportation of gas from Azerbaijan's Shah Deniz Stage 2 to the EU countries.
The pipeline will connect to the Trans Anatolian Natural Gas Pipeline (TANAP) on the Turkish-Greek border, run through Greece, Albania and the Adriatic Sea, before coming ashore in Italy’s south.
TAP will be 878 kilometers in length (Greece 550 kilometers, Albania 215 kilometers, Adriatic Sea 105 kilometers, and Italy 8 kilometers).
TAP’s shareholding is comprised of BP (20 percent), SOCAR (20 percent), Snam S.p.A. (20 percent), Fluxys (19 percent), Enagás (16 percent) and Axpo (5 percent).
The Southern Gas Corridor is one of the priority energy projects for the EU. It envisages the transportation of gas from the Caspian region to the European countries through Georgia and Turkey.
At the initial stage, the gas to be produced as part of the Stage 2 of development of Azerbaijan's Shah Deniz field is considered as the main source for the Southern Gas Corridor projects. Other sources can also connect to this project at a later stage.
As part of the Stage 2 of the Shah Deniz development, the gas will be exported to Turkey and European markets by expanding the South Caucasus Pipeline and the construction of Trans Anatolian Natural Gas Pipeline and Trans Adriatic Pipeline.
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