Brussels, 04/02/2015 (Agence Europe) - Commission Vice-President with responsibility for Energy Union Maros Sefcovic again, on Wednesday 4 February, expressed his scepticism over Russian plans for a second pas pipeline through Turkey, Turkish Stream, replacing the South Stream project and carrying Russian gas to the EU without having to pass through Ukraine. He has doubts both as to the commercial viability of the project and its compliance with long-term gas contracts signed with European companies.
“It is very unusual that such a company as Gazprom communicates with its clients through a press conference”, Sefcovic commented, referring to the announcement through the press of the cancellation of the South Stream gas pipeline project, even before EU member states, which were stakeholders in the project, were officially informed. Following Gazprom's announcement of the Turkish Stream project Sefcovic wondered about the technical feasibility and how it stood with regard to long-term contracts. There are very clear provisions on where supplies have to be delivered to, he said, in response to a question from the media. He said, too, that he had “arithmetical doubts” as to the viability of the project. Why, he asked, transport 63 billion cubic metres per year to this region of the world, implying that supply on this scale would exceed the demand by potential clients, including Turkey and South-Eastern Europe. “I don't think it will come to pass”, he repeated, calling for a return to more rational debate on an economically viable solution for gas supply to Europe.
In announcing that it was cancelling South Stream, Russia announced on 1 December 2014 that it had signed a memorandum of understanding with Turkey for the construction of the Turkish Stream, with a view to establishing a gas hub on the Greek-Turkish border for European consumers, to whom would be delivered 50 billion of the 63 billion cubic metres of gas that the pipeline will carry. During a visit of Sefcovic to Moscow on 14 January, Gazprom confirmed its plans to divert the Russian gas destined for the EU, which currently goes through Ukraine, to Turkey. The Russian gas giant suggested that the EU immediately begin building interconnection infrastructure needed at the Greek-Turkish border to ensure the supply of Russian gas after the contract between Gazprom and Ukraine expires in 2019. At the end of January, Gazprom and Turkish company Botas agreed to present a joint plan at the start of February for the construction of Turkish Stream. The aim was for a Russia-Turkey inter-governmental agreement to be signed in the second half of this year so that gas could flow from December 2016. (EH)