BAKU, Azerbaijan, February 21. The European Bank for Reconstruction and Development (EBRD) might have role to play in midstream infrastructure upgrades of the Southern Gas Corridor, EU Commissioner for Energy Kadri Simson said in an exclusive interview with Trend.
She noted that Azerbaijan has a significant role in supporting our efforts to diversify away from Russian fuels.
“Azerbaijani natural gas supplies to the EU market reached 11.8 billion cubic meters in 2023, up from 8.1 in 2021, and we are both committed to increase bilateral trade to 20 billion cubic meters per year by 2027,” added the Commissioner.
Simson pointed out that the Advisory Council meeting will be an opportunity to discuss the necessary infrastructure upgrades along the Southern Gas Corridor.
“For midstream infrastructure upgrades, the European Bank for Reconstruction and Development might have a role to play when there will be a clear project on the table, and in a context of decarbonization commitments in line with Paris Agreement goals and plans to address methane leakage,” she added.
The transportation of Azerbaijani gas to Europe through the Southern Gas Corridor (SGC) commenced on December 31, 2020. Gas from the Caspian Sea region is conveyed to European countries through Georgia and Türkiye.
This extensive project aims to diversify energy supply routes and sources, bolstering Europe's energy security. The project's cost was $33 billion, with a forecasted cost of $45 billion. Anticipated capital expenditures for the SGC project are expected to be fully recouped within 8-10 years.
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