Can the E.U. Approve the TAP Pipeline?

The European Union (Commission) approved the agreement between the Greek Government and the consortium that will develop the TAP Pipeline i.e. the Trans-Adriatic Pipeline. The TAP Pipeline will be the European leg of the Southern Energy Corridor, with the Asiatic legs of the project being the South Caucasus and the TANAP (Trans-Anatolian) Pipelines. The TAP Pipeline is the red pipeline, the TANAP is the blue and the South Caucasus is the purple pipeline.

Map 1 Southern Energy Corridor

https://www.wilsoncenter.org/sites/default/files/shah_deniz_regional_map_700x335.gif

The Southern Energy Corridor will reduce the dependency of the European Union on Russian natural gas, and it is one of the main geopolitical objectives of both Turkey and the European Union, and it is supported by the United States. The Southern Energy Corridor is threatened by the German-Russian networks, Nord Stream 1 and Nord Stream 2, and that’s why the Turkish Islamists and the Greek Communists are sending to Germany hundreds of thousands of migrants. See “Germany’s Defeat by the Turkish Islamists and the Greek Communists”.

https://iakal.wordpress.com/2015/12/08/germanys-defeat-by-the-turkish-islamists-and-the-greek-communists/

The problem is that even the Russians are angry with Merkel, because Merkel has approved the sanctions against Russia, after the Russian army entered Ukraine. Moreover the Russians are angry with the European Union, because the European Union promotes the Southern Energy Corridor, and also the European Energy Union, which will reduce Russian influence on European countries. This situation is very messy and very dangerous and threatens the existence of the European Union.

Anyway, the TAP consortium will invest 5.6 billion euros on the pipeline, with 2.3 billion euros being invested in Greece. In its first phase the TAP will transfer to Italy 10 billion cubic meters of natural gas, which is 1/6 of the current Italian gas imports, and its capacity will gradually reach 20 billion cubic meters per year.

That is of course if the natural gas can pass through the Kurds of Turkey (PKK). All these pipeline plans are just plans and ambitions. Which pipelines will actually be constructed, and which gas will be sold in the end, will be determined by the current wars, and the negotiations that are taking place. For example the negotiations for the ceasefire in Syria etc.

Map 2 Trans-Adriatic Pipeline (TAP)

http://europa.eu/rapid/press-release_IP-16-541_en.htm

Map 3 Kurdistan

I believe that it is a good thing for Europe to reduce its dependency on Russia. To compensate Russia for its reduced revenues in Europe, the Europeans and the Americans could help the Russians sell natural gas to Japan and South Korea, which are the largest and second largest importers of LNG. Obviously in practice it is much harder to reach such agreements.

Map 4 A Possible Russo-Japanese Pipeline

For the talks between Russia, Japan and South Korea, about a possible gas pipeline see “Russia VS North Korea”.

https://iakal.wordpress.com/2016/01/28/russia-vs-north-korea/

The TAP Pipeline, and NOT the natural gas that will be transferred by it, it is owned by the state owned firm of Azerbaijan (20%) i.e. SOCAR, by the Italian firm Snam (20%), in which the Italian ENI has shares, by the Anglo-Dutch giant BP (20%), by the Belgian firm Fluxys (19%), in which the French government has a stake, by Enagas (16%), in which the Spanish government has stakes, and by the Swiss state-owned Axpo (5%). All these details are taken on March 2016. See “Commission approves agreement between Greece and TAP allowing new gas pipeline to enter Europe”, March 2016

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Trans Adriatic Pipeline AG is a joint venture company registered in Switzerland. Its shareholders are BP (20%), SOCAR (20%), Snam (20%), Fluxys (19%), Enagás (16%) and Axpo (5%).

http://europa.eu/rapid/press-release_IP-16-541_en.htm

I must say that TAP, TANAP, South Caucasus Pipelines are owned by different companies, and different companies produce the natural gas of Azerbaijan.

Map 5 Pipeline Networks (Energy Information Administration)

https://www.eia.gov/beta/international/analysis.cfm?iso=TUR

Article

“Commission approves agreement between Greece and TAP allowing new gas pipeline to enter Europe”, March 2016

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The Trans Adriatic Pipeline is the European leg of the Southern Gas Corridor, which aims to connect the EU market to new gas sources. With an initial capacity of 10 billion cubic metres of gas per year, the pipeline will transport gas from the Shah Deniz II field in Azerbaijan to the EU market as of 2020. The Trans Adriatic Pipeline will run from the Greek border via Albania to Italy, under the Adriatic Sea. The builder and operator of the pipeline is Trans Adriatic Pipeline AG (TAP), a joint venture of several energy companies. TAP will invest €5.6 billion over five years in the project, of which €2.3 billion in Greece.

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Trans Adriatic Pipeline AG is a joint venture company registered in Switzerland. Its shareholders are BP (20%), SOCAR (20%), Snam (20%), Fluxys (19%), Enagás (16%) and Axpo (5%).

http://europa.eu/rapid/press-release_IP-16-541_en.htm