BAKU, Azerbaijan, April 25. Azerbaijan will start gas supplies via the Solidarity Ring, Ambassador Extraordinary and Plenipotentiary of Bulgaria to Azerbaijan Rouslan Stoyanov said in an exclusive interview with Trend.
“In the last year Bulgaria managed to diversify its gas supplies. From a country through which Russian natural gas passed, Bulgaria is becoming an active distributor of gas from various sources. Among other factors, this is due to the agreement on access to the Turkish liquefied natural gas (LNG) terminals, the agreements with Greece and the construction of new gas connections, including with Serbia, the construction of which began on 1 February 2023. During the official visit of President of Azerbaijan Ilham Aliyev to Sofia in October 2022, the Bulgarian side proposed the possibility of supplying additional quantities of Azerbaijani gas to Central, Western and Southern Europe by using the gas transmission networks of Bulgaria, Romania, Hungary and Slovakia, for which there is a proposal and prior agreement from the gas operators of the four countries,” he said.
Stoyanov noted that Bulgaria expects the opening ceremony of the office of the Azerbaijani state oil company SOCAR.
“A memorandum will also be signed to formalize the Solidarity Ring (STRING) initiative, which was proposed by the Bulgarian President Rumen Radev in October 2022, and through which the increased gas supplies from Azerbaijan to the EU, agreed in 2022 by EC President Ursula von der Leyen, will be delivered to the EU with minimal costs,” he explained.
The envoy went on to add that the Southern Gas Corridor (SGC) is a huge project and Azerbaijan was an important driving force for its successful realization.
“Its implementation was an example of what can be accomplished when governments, private companies and financial institutions are motivated and willing to work together. I am pleased that Bulgaria is a part of this endeavor from the very beginning. Of course, this would not have been possible without the long-standing and friendly bilateral political relations between our countries, which have naturally developed into a strategic partnership. Now Bulgaria is the only country through which the SGC is not directly passing but is still receiving 1 bcm of Azerbaijani gas annually. This amount represents about 10% of the TAP capacity at this stage and about 30% of Bulgaria’s annual consumption. Thus, in relation to our country, Azerbaijan becomes a crucial energy partner for Bulgaria and the EU as a whole in our endeavor for real diversification of both the sources and routes for gas supply,” noted Rouslan Stoyanov.
He recalled that the inauguration ceremony of the Interconnector Greece-Bulgaria (IGB), which was held in Sofia on 1 October 2022 in the presence of the President of the Republic of Azerbaijan Ilham Aliyev and other heads of state and government as well as the European Commission`s President Ursula von der Leyen, marked the beginning of its commercial operation.
“The IGB is a key route to carry gas from the Trans-Adriatic Pipeline (TAP) and Greece to Bulgaria and neighboring countries. It is a crucial project for the diversification of gas supply in the South-East European region, a project of common interest and a priority project under the Central and South Eastern Europe Energy Connectivity High-Level Group. IGB together with the well-developed Bulgarian national gas transmission system and already existing gas connectors with Turkey, Greece and Romania will provide to my country an opportunity to become a real regional hub for gas distribution from different sources and different routes to a number of consumers, which in fact is the essence of the diversification. So, the SGC has changed not only Bulgaria’s energy map but the one of the entire Balkan region,” he said.
The ambassador pointed out that Bulgaria is eager to lead the efforts for strengthening the energy cooperation between the countries of Southeast Europe and to explore ways to overcome the emerging difficulties in the energy sector in a more coordinated and efficient manner.
“Azerbaijan is a crucial energy partner for the EU and we expect our partnership to grow further on the basis of the EU-Azerbaijan Memorandum of Understanding signed in July 2022. The possibility of increasing natural gas supplies from Azerbaijan to at least 20 bcm per year by 2027 will contribute to the energy diversification objectives in the REPowerEU Plan.
Regarding additional supplies to Bulgaria from Azerbaijan, everything will depend on the availability of free volumes of natural gas as well as on the international gas prices,” said Stoyanov.
Room for cooperation in non-energy sector
“At present, energy cooperation stands out as a major area of interaction between our two countries. Bulgaria has a marked interest in participating and cooperating, and thus closely monitors and analyzes the latest developments and plans of Azerbaijan in the field of energy, in the context of the country's potential for the production and transmission of alternative renewable energy, as well as in the transport field - in the context of the growing commercial attractiveness of the transport corridor for cargo transit through Azerbaijan from and to Central Asia. The Green Energy Development and Transmission Project, the agreement on which was signed on December 17, 2022 in Bucharest between the governments of Azerbaijan, Georgia, Romania, and Hungary is viewed from Sofia as particularly promising in this regard,” he said.
Of course, as said Stoyanov, additional possible directions for active cooperation with Azerbaijan can be sought in the fields of supplies of goods for the food industry and equipment for it, wines and soft drinks, perfumes and cosmetics, medicines, garments, shoes, furniture, sanitary equipment, building materials, electronic and electrotechnical goods, electric motors, machines, lifting vehicles, etc.
“The Azerbaijani side also has shown interest in cooperation in the field of agriculture and forestry. Construction is another promising area for trade and economic cooperation, given the large-scale internal investment program implemented by Azerbaijan, which foresees the construction of a number of infrastructure sites of national importance, including railway and road infrastructure, a new port in Baku, residential, office and business buildings, etc., which creates opportunities for Bulgarian construction companies,” said the Bulgarian diplomat.
He pointed out that there is a potential for the development of cooperation in the field of tourism.
“To strengthen tourism ties the Bulgarian Ministry of Tourism has proposed to host a meeting of the Bulgaria-Azerbaijan Tourism Working Group in 2023 with a view to elaborating a joint action plan for the period 2023-2025. Just a few numbers: In 2022 5 040 tourists from Azerbaijan have visited Bulgaria, which is an increase of 114 % compared to the number of visits in 2021. For comparison in 2019, before Covid-19 they were 4158, in 2020 during the pandemic they were 1682 and in 2021, the total number of visits of Azerbaijani tourists was 2350. Here I would like to recall that in 2018 and 2019 “Buta Airways” operated a direct line between the cities of Baku and Sofia. For the months during which the line functioned, an increase in the number of passengers was observed. The line is currently not operating, but both sides are actively negotiating to relaunch it. Opportunities are being sought for the development and promotion of the partnership between tour operators from both countries, the development of auxiliary and entertainment services, the exchange of groups of tourists, the participation of companies in the organized tourist exhibitions of both countries, the development of tourist routes. In this regard, just a few days ago, Bulgaria was represented with a national stand at the 19th Azerbaijan International Travel and Tourism Exhibition - the largest international tourism exhibition organized in the country and has received the status of a leading international exhibition in the Caucasus region. The Azerbaijani side has also shown interest in the opportunities of Bulgarian companies to participate in the construction of tourist infrastructure in the country,” he said.
Stoyanov noted that investments currently remain an underdeveloped direction in the bilateral relations between Azerbaijan and Bulgaria.
“Within the framework of President Ilham Aliyev's visit to Sofia 30.09-01.10.2022, a number of promising bilateral investment projects were discussed in a wide range of fields (along with energy), for example: in the fields of information technology, agriculture, technology, education, the humanitarian field, etc. A decision was made a representative office of the state energy company of Azerbaijan SOCAR to be opened in Bulgaria. The company is already present in a number of European countries, in some as owner of a chain of petrol stations, in others as a partner in oil refining enterprises, i.e. the company has a lot of experience. Thus, we are confident that based on the significant potential, the representation of SOCAR in Sofia will contribute to the further deepening of our bilateral relations,” added the diplomat.
Overview of trade relations
“The volume of bilateral trade does not meet the existing potential. The Agreement on Economic Cooperation between the Government of the Republic of Bulgaria and the Government of the Republic of Azerbaijan, signed in Baku on November 12, 2007 is a solid base for intensifying our economic partnership, which must be further developed and brought to a state adequate to the requirements and of the modern times. The mechanism of the Joint Intergovernmental Commission on Economic Cooperation must be restored and actively used, as it is the platform for discussion of a wide range of projects in different fields,” he said.
Stoyanov noted that Bulgaria is ready to support the organization of visits of Azerbaijani business delegations to Sofia and other major Bulgarian cities, to present the opportunities for cooperation in different areas such as: energy, agriculture, food industry, machine building, tourism, etc. Bulgaria can export internationally well-known industry equipment, food industry products, pharmaceuticals, perfumery-cosmetics etc., that are also known to the Azerbaijani people.
“The Bulgarian-Azerbaijani Chamber of Commerce and Industry (BATIP), established in 2014, has an important role to play in this process. Bulgaria wishes to cooperate more closely with Azerbaijan in the field of transport. Our interest lies in the transport and energy corridors, and digital connectivity linking Asia and Europe via Bulgaria,” added the diplomat.
Priorities of mission in Azerbaijan
“First of all, I would like to say that it is an honour and a privilege to represent my country in Azerbaijan. Last year, our countries celebrated 30 years since the establishment of our diplomatic relations. Our countries have been historically connected through sincere friendship and mutual respect, which is also confirmed by the active political dialogue at high level and at the highest level over the last years. Relations between the two countries have been elevated to a strategic level and Bulgaria regards Azerbaijan as an important, reliable and proven priority partner. As Ambassador, I wish and will make efforts to deepen the practical and fruitful cooperation in all areas of mutual interest,” he said.
Of course, as Stoyanov noted, one of the major areas in bilateral relations is energy.
“Following the commissioning of the Greece-Bulgaria interconnector, our country is now receiving in full the agreed upon Azerbaijani gas supplies of 1 billion cubic meters per year under the long-term contract signed by our two countries. There are, of course, other areas which our countries are mutually interested in developing, such as innovation, high technology, trade, investment, culture and education - important prerequisites for deepening further our bilateral cooperation,” the ambassador said.
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