Brussels, 13/02/2012 (Agence Europe) - Sweeping aside rumours that the project is in major difficulty given the uncertainty surrounding its construction and supply, the Nabucco consortium, which is responsible for the gas pipeline project that is to link Turkey to Austria via Bulgaria, Romania and Hungary to carry Central Asian gas to the EU, gives its assurance that the southern gas corridor project is the most competitive.
“Nabucco is the European flagship project in the southern corridor for a good reason: the implementation is based on a treaty (Ed: intergovernmental agreement signed by Austria, Bulgaria, Hungary, Romania and Turkey) and bilateral contracts (Ed: project support agreements) with all transit countries. These agreements ensure that European energy law will be applied in all transit countries, including Turkey. Consequently, Nabucco offers third party access and a transparent and stable transit regime for the whole pipeline length”, explained Reinhard Mitschek, the Nabucco consortium managing director, speaking at the monthly round-up published in February by the consortium communication service. Mitschek gave his assurance that the countries of western Europe, like those of eastern and south-eastern Europe and the Balkans, would have access to the second biggest gas reserves in the world. He said: “Nabucco is designed as a large scale project and needs political support”. Although, as far as the timetable is concerned, Nabucco is supply-driven and dependent on the timetable put forward by Shah Deniz-2 of Azerbaijan, the project is “well-developed”, and the consortium, he assured, “will be able to offer transportation services as soon as the gas can be exported”. Nabucco shareholders - OMV energy company of Austria, Bulgargaz of Bulgaria, MOL of Hungary, Transgaz of Romania, Botas of Turkey and RWE of Germany - are still negotiating with the Shah Deniz consortium for gas supplies, and await a response in coming months. Mitschek points out that, in addition to Azerbaijan, Iraq and Turkmenistan are also “keen to export huge gas volumes to Europe”. Of all the projects or ideas for projects in the region, Nabucco is the “furthest developed” and the most competitive, he concludes, underlining that the detailed engineering for the 4,000 km length is 85% complete, and that Nabucco has already received the first local permits with respect to the environmental and social impact assessment.
In addition to EIB, EBRD and IFC (World Bank) commitment, in 2010, for financial support of up to €4 billion, the project will be backed by the EU up to €200 million. The consortium provides for construction work to begin at the end of 2013, with a view to becoming operational at the end of 2017. (EH/transl.jl)