Azerbaijan pushes for long-term gas contracts with EU to secure future energy supply

Azerbaijan’s Energy Minister Parviz Shahbazov emphasized the importance of optimizing energy policies, priorities, and investments in light of the current global energy market realities.

Speaking at the 11th Southern Gas Corridor (SGC) Advisory Council Ministerial Meeting and the 3rd Green Energy Advisory Council Ministerial Meeting in Baku, Shahbazov stressed that despite geopolitical tensions and market volatility, natural gas remains a cornerstone of energy security, Caliber.Az reports via local media.

Minister Shahbazov explained that, to ensure a steady supply of gas, there is an urgent need for continued investment in gas fields and infrastructure. He noted that quick decision-making is essential to prevent jeopardizing the required gas volumes, a sentiment that reflects the rapidly changing energy landscape.

Shahbazov also pointed out the lack of diversification alternatives for sustainable energy security, particularly stressing that obtaining energy from multiple sources and routes is crucial for Europe’s energy security.

"Obtaining energy from different sources and via different routes is not only the foundation of energy security but is also essential for Europe. This issue should remain a priority and be addressed at key moments," Shahbazov noted.

The Minister also reaffirmed the strategic importance of the Southern Gas Corridor as a crucial asset for Europe. He highlighted that Azerbaijan, over recent years, has solidified its position as a reliable energy partner while significantly expanding its gas supply footprint.

Shahbazov also provided an update on Azerbaijan's gas exports, revealing that the volume of gas exported from Azerbaijan to Europe has doubled, reaching 14 billion cubic meters by the end of 2024. This achievement is a testament to Azerbaijan’s growing role in Europe’s energy security and its expanding network of supply.

He further stressed the importance of accelerating production projects within Azerbaijan and expanding the necessary infrastructure to facilitate gas deliveries. Shahbazov emphasized the need for the construction of a centralized compressor station to ensure the smooth flow of gas through the Southern Gas Corridor.

The Minister also advocated for the signing of long-term gas contracts between Azerbaijan and European companies. Such contracts, he argued, would provide a critical guarantee for the European Union and solidify Azerbaijan's position as a dependable energy supplier.

"The expansion of the Southern Gas Corridor will unequivocally enhance Europe’s energy security," Shahbazov said.

"Through coordinated and effective cooperation between Azerbaijan, the European Union, energy companies, regional players, and financial institutions, we can elevate the Southern Gas Corridor to new heights. We must work in this direction," the minister added.

By Vafa Guliyeva