BAKU, Azerbaijan, Oct.16
By Leman Zeynalova – Trend:
The Trans Adriatic Pipeline (TAP) will help diversify gas supply mix in the region, which is heavily dependent on imports, and particularly on imports from Russia, Kateryna Filippenko, principal analyst, Europe Gas & LNG at Wood Mackenzie told Trend.
“Gas will continue to play a key role in the energy transition. It contributes around 40 percent of Italy’s total energy demand and remains integral in the country’s Energy and Climate plan, particularly with plans to phase out coal use in electricity generation by 2025. TAP will help ensure stable gas supply in the region as it will help offset weakening flows from Algeria, where supply is becoming increasingly challenging and expensive. It will also help develop Italy’s internal gas market by stimulating flows between the south and north of the country and improving liquidity of the PSV gas hub,” she said.
Filippenko noted that the contracts for gas delivered through the pipeline are linked to European gas hubs, which is also a step-change from traditionally oil-linked long-term piped contracts.
“The pipeline – and its potential expansion – will improve diversity and security of supply and help integrate the region’s gas markets,” the analyst added.
After almost four and a half years since the start of construction, the Trans Adriatic Pipeline is substantially complete.
The TAP pipeline has been filled with natural gas from the Greek-Turkish border up to the pipeline receiving terminal in Southern Italy.
TAP is currently finalizing preparations for launching the commercial operations and offering capacity to the market in alignment with the adjacent TSOs.
The Interconnection Point between TAP pipeline and the natural gas transmission system of Snam Rete Gas in Puglia (Italy) is expected to be completed and ready to transport gas by mid-November 2020.
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