SGC anew secures commitment of all sides

The Southern Gas Corridor is an issue of energy security and the energy security is national security of any country. That was stated by President of Azerbaijan Ilham Aliyev, who attended the Southern Gas Corridor (SGC) Advisory Council Third Ministerial Meeting in Baku on February 23.

The event brought together the energy ministers and representatives of various organizations from the Southern Gas Corridor memberstates, as well as Maros Sefcovic, Vice-President of the European Commission and co-chair of SGC Advisory Council.

Addressing the meeting, the head of state said that Azerbaijan has established close cooperation with the European Commission for the implementation of SGC project.

“We have been able to create a unique and exemplary format of international cooperation, and the implementation of SGC project is a very important factor for future ties,” he said.

The ambitious SGC project, one of the European Union's priority energy projects, is assessed as a strategically important initiative that will allow Europe to secure its energy security. The project which is set to change the energy map of an entire region will bring Caspian gas to the European markets. Being an important energy partner for the EU, Azerbaijan is currently supplying around 5 percent of the EU's oil demand but the pivotal role of the country is related to its position as an “enabler” of the SGS.

Speaking about the energy policy of Azerbaijan, President Aliyev noted that the “Contract of the Century” signed in 1994 has played a significant role in the implementation of future energy projects, mentioning that the achievements of modern Azerbaijan have become possible thanks to the contract. Emphasizing the importance of the Shah Deniz gas field in the implementation of SGC project, the president said that the capacities of this field play an important role in the popularization of Azerbaijan as a country with huge gas reserves.

The president also spoke about the advancements achieved since the last year’s meeting, noting that Shah Deniz-2 project has been implemented by 90 percent. Furthermore, important achievements have been observed with regard to TANAP and TAP projects. He added that the development of Azerbaijan’s Absheron gas field has commenced, which shows that the country’s gas potential is not limited to Shah Deniz.

Speaking at the event, Vice President of the European Commission Marosh Shevchovich once again hailed the importance that the European Commission attaches to the project.

“The Southern Gas Corridor project has strategic importance for the energy security of Europe.The EU appreciates the opportunity to have new connection to the very important Caspian basin, and to have such an important partner as Azerbaijan in this effort,” he said.

Shevchovich added that he will encourage international financial institutions to look into the ways how they can include European financial institutions in financing of the project. He went on to say that the project will significantly benefit all the communities along the entire route of the pipeline

The strong support of the United States was once again reiterated during the meeting. Deputy Assistant in the Department of State’s Bureau of Energy Resources Robin Dunnigan said that the project remains strategic priority for the United States.

Speaking at a press conference held after the meeting Azerbaijani Energy Minister Natig Aliyev said that all financial institutions taking part in the meeting once again expressed their commitment to the project.

The Council held its first meeting on February 12, 2015, and the second meeting on February 29, 2016.