Europe's gas supply from Azerbaijan doubles -

Europe’s gas supply from Azerbaijan doubles –

The President of the European Union, Ursula von der Leyen, visited Azerbaijan, where he signed a memorandum on doubling Europe’s supply of Azerbaijani gas.

The recent visit of the President of the European Commission, Ursula von der Leyen, to Azerbaijan and the signing of a memorandum on doubling the supply of Azerbaijani gas to Europe is a really significant event, reports Trend.

In the historical context, as Mark Twain once said, “History never repeats itself, but often rhymes.”

Specifically, the current geopolitical game around Europe’s energy supply and the role of Azerbaijan in this process is reminiscent of the mid-1990s. It began with the signing of the “Contract of the Century” and the construction of the Baku-Tbilisi-Ceyhan pipeline.

However, the value of the agreement is much higher

However, the value of the current agreement on doubling the supply of Azerbaijani gas to Europe is much higher, as Azerbaijan is currently not only one of the energy suppliers capable of reducing Europe’s dependence on the Russian monopoly, but a full partner, which, at the same time, addressed the current energy stalemate in Eurasia in a good way, with self-sufficiency and consistency of foreign policy priorities.

Thus, on 18 July 2022, a “Memorandum of Understanding on the Strategic Energy Partnership between the European Union represented by the European Commission and the Republic of Azerbaijan” was signed between Azerbaijan and the European Union.

The President of the Republic of Azerbaijan, Ilham Aliyev, and the President of the European Commission, Ursula von der Leyen, signed the document.

Bilateral gas trade will be supported by both sides

Following the signing of the contract, the parties agreed to support bilateral trade in natural gas, including through exports to the European Union, through the Southern Gas Corridor, of at least 20 billion cubic meters of gas annually by 2027, in accordance with the viability trade and market demand.

In the context of the document, any other natural gas exports to the European Union, beyond those delivered so far, will require significant investment in expanding the southern gas corridor pipeline network and developing the upstream project.

From an economic and legal point of view, the EU and Azerbaijan will encourage funding for the expansion of the pipeline network in the Southern Gas Corridor, taking into account EU climate policies and its REPowerEU strategy, including through cooperation with international financial institutions.

The infrastructure will be ready for conversion

In the future, both sides will also support the infrastructure to be prepared for conversion for the transport of renewable gases, including hydrogen and its derivatives. This implies that the new infrastructure should be able to transport renewable and low-carbon gases, including hydrogen and its derivatives, as well as prepare the existing infrastructure for the future and hydrogen.

The parties expressed their aspiration to promote mutually beneficial trade in natural gas, anticipating future trade in hydrogen, hydrogen-derived instruments and other renewable gases (biomethane, etc.) and electricity from renewable sources, writes the Trend news agency.