BAKU, Azerbaijan, July 18. EU and Azerbaijan endeavour to work collectively towards enabling the stable and predictable delivery of natural gas to the European Union in a manner that is consistent with its long-term decarbonisation objectives and is based on the long-term partnership between the Sides and the principle of market-oriented pricing, Trend reports citing the text of the new Memorandum of Understanding on a Strategic Partnership in the Field of Energy signed today between the EU and Azerbaijan.
This goal includes the shipment of Caspian natural gas to the European Union and, potentially, to Western Balkan countries, with a view to supporting the conditions for the expansion of the Southern Gas Corridor to increase diversification of supply in accordance with commercial viability and market demand.
The Sides underline the importance of long-term, predictable and stable contracts in order to underpin security of demand for producers, exporters and infrastructure owners, and security of supply for importers and buyers. The duration of the contracts should correspond to the role of natural gas in the European Union's decarbonisation agenda while supporting the economics of the development of the required export infrastructure investments. The European Union may propose aggregated demand purchase schemes to Azerbaijan such as via the EU Energy Platform.
The Sides aspire to support bilateral trade of natural gas, including through exports to the European Union, via the Southern Gas Corridor, of at least 20 billion cubic metres of gas annually by 2027, in accordance with commercial viability and market demand.
---
Follow the author on Twitter: @Lyaman_Zeyn