Azerbaijan, Baku / corr Trend A.Badalova / Trend 's interview with Walter Steinmann, the Swiss Energy Minister
Question: What are the prospects for cooperation between Azerbaijan and Switzerland in the energy sphere?
Answer: Switzerland obtains 56 per cent of its energy from oil and gas, 25 per cent from nuclear power, 10 per cent from hydropower and 9 per cent from other renewable energy sources. Therefore the situation is clear: More than half of Switzerland's energy requirements are covered by the fossil fuels oil and gas.
However, Switzerland has no fossil fuel resources of its own. The country is entirely dependent on imports for its supply of oil and gas. To illustrate the situation, natural gas supplies are mainly obtained from the EU States Germany, the Netherlands, France and Italy. In turn these States draw 95 per cent of their gas supplies from the production states the Netherlands, Russia, Norway, Germany and Algeria.
In spring of this year the Swiss government has opted to pursue a new course with respect to its energy policy. To guarantee long-term energy security for Switzerland, the Federal Council intends to apply a four-pillar plan: Promotion of more efficient use of energy, promotion of energy from renewable sources, extension and construction of major power plants and a more vigorous foreign policy in the energy field. International cooperation with non-EU states, such as with Azerbaijan, constitutes a part of this policy.
The fact that a Swiss electricity company, the Elektrizitats-Gesellschaft Laufenburg AG (EGL), is currently working on a project (Trans Adriatic Pipeline, TAP) with the purpose to construct a gas pipeline between Albania and Italy, is a further factor. The gas to be fed into the pipeline shall mainly be obtained from Azerbaijan and Iran. The project is supported by the Swiss Government: it would lead to establishing a further import corridor for natural gas to Europe, leading to more diversity in Europe's and, of course, in Switzerland's gas supply.
For these reasons Switzerland is seriously interested in discussing questions related to cooperation between both countries in the energy sector. We perceive great potential for cooperation especially in the fields of renewable energy, efficient use of energy, energy research and in the gas sector. We want to confirm our interest by signing of a Memorandum of Understanding.
Question: To what extent can Swiss companies be involved in transportation of Azerbaijan's gas to Europe?
Answer: As I already mentioned: The Trans Adriatic Pipeline and Storage Projects have been launched by the Swiss energy company EGL. The company intends to realise both projects in cooperation with partners. At present we are not aware of any other projects.
Question: What are the prospects for the construction of a trans-Caspian Sea gas pipeline?
Answer: The Trans Adriatic Pipeline will open up a new supply corridor for the transportation of natural gas from the significant reserves in Iran, the Caspian Sea region and Russia to Western Europe, especially Italy and Switzerland. An additional natural gas corridor to Europe would increase the security of gas supplies for Switzerland.
Question: What volumes of gas does Switzerland import today? What will be the benefits to your country from realization of the Nabucco project?
Answer: According to the combined energy statistics for 2006, Switzerland imported 113,400 TJ of gas last year.
As far as the Nabucco project is concerned, according to the IEA's prediction, demand for gas will rise dramatically in Europe and will reach 400 billion cubic meters by 2020. Russia will not be able to fill this demand on its own. The Nabucco project was begun because its initiators were conscious of the need for new sources and alternative supply routes to cover Europe's enormous demand for gas. Of course, Switzerland is also affected by this project and would also benefit from a further natural gas supply corridor to Europe.
Question: Is Switzerland ready to participate in the development of Azerbaijan's oil sector and which services can Swiss companies offer?
Answer: Swiss companies - such as Asea Brown Boveri ABB - are world leaders in the fields of energy technology and automation. Their products and services are of high quality. These companies enable clients in the energy supply field and energy industry to achieve higher output with less environmental pollution. I am sure Swiss companies could offer valuable services to your country in this field.