Ministerial Meeting of Southern Gas Corridor Advisory Council continues with plenary sessions

The 12th Ministerial Meeting of the Southern Gas Corridor Advisory Council and the 4th Ministerial Meeting of the Green Energy Advisory Council continued with three plenary sessions: the "Ministerial Session," the "Southern Gas Corridor Session: Sustaining Success and the Next Phase of Development of the Southern Gas Corridor," and "Green Energy Projects."

Speaking at the Ministerial Session, Azerbaijan's Minister of Energy Parviz Shahbazov stated that the world is rapidly entering the "age of electricity," driven by the development of artificial intelligence, data centres, and digitalisation, Caliber.Az reports, citing local media.

He emphasised that natural gas plays a strategic role in reliably meeting the growing energy demand. He stressed that gas will remain one of the main pillars of energy security for decades to come, and that timely investments are of key importance.

It was noted that deliveries of natural gas from Azerbaijan to Europe have increased by 56% compared to 2021, the capacity of the Trans-Adriatic Pipeline (TAP) has grown by 1.2 billion cubic meters, and the gas supply network is expanding from Southeastern Europe to the Middle East and Central Europe. In the structure of last year's gas exports totalling 25.2 billion cubic meters, Europe's share was approximately 51%, while Türkiye, Georgia, and Syria together accounted for 49%.

"Azerbaijan is a reliable supplier to Europe, and demand for our gas remains high. However, there is still insufficient institutional and financial support from the demand side for further expansion. We are currently working on commissioning four upstream projects in 2026–2029. This year, we expect the first gas production within the framework of the free gas development project at the Azeri-Chirag-Gunashli field. In addition, four more exploration projects are being implemented both onshore and offshore. Despite positive developments, including the entry of UAE's ADNOC (XRG) as a shareholder in the Southern Gas Corridor, a clear and long-term political framework supported by specific financial mechanisms is needed for a significant increase in supplies to Europe," the minister added.

The minister also provided information on the current status of projects to create 8 GW of renewable energy capacity for domestic consumption, export, and data center power supply, as well as on interregional "green energy corridors" and interconnectors — "Caspian–Black Sea–Europe," "Azerbaijan–Türkiye–Europe" (directly from Nakhchivan and via Armenia), "Trans-Caspian," and "East–West." It was emphasized that these energy links will strengthen Azerbaijan's role in ensuring Europe's energy security.

Georgia's Minister of Economy and Sustainable Development Mariam Kvrivishvili stated that Georgia acts as a reliable transit country within the Southern Gas Corridor, contributing to the diversification and security of energy supplies to regional and European markets. The country aims to fully meet its electricity needs by 2036 through investments in renewable energy and the development of cross-border infrastructure.

Bulgaria's Minister of Energy Traycho Traykov noted that with the commissioning of the Greece–Bulgaria gas interconnector, the country has become an integral part of the strategic infrastructure of the Southern Gas Corridor, which has proven its role in strengthening Europe's energy security and diversifying sources and routes.

Moldova's Minister of Energy Dorin Junghietu emphasized that the country's strategic priority is the consistent integration of its gas market into the European energy infrastructure, which will ensure access to multiple suppliers, including volumes from the Caspian region.

U.S. Assistant Secretary of State for Economic, Energy, and Business Affairs Caleb Orr, in an online address, noted that the Southern Gas Corridor is at the center of successful U.S. partnership in the region and reflects an understanding of the close link between energy and national security.

The UK's Trade Envoy for Azerbaijan and Central Asia, Lord John Alderdice, stated that Azerbaijan professionally fulfills its role as a guarantor of energy security in the region and Europe, and that the UK sees great potential for cooperation in green energy corridors and clean energy projects.

Türkiye's Deputy Minister of Energy and Natural Resources Zafer Demircan highlighted the strategic role of the Southern Gas Corridor in ensuring long-term energy security and emphasized that Türkiye is the most convenient route for transporting both gas and electricity.

Representatives of Kazakhstan, Hungary, Albania, Serbia, Greece, Ukraine, Croatia, Montenegro, Austria, Italy, Slovenia, and North Macedonia also confirmed the strategic importance of the Southern Gas Corridor for diversifying supplies, strengthening energy security, and developing green energy projects.

Within the framework of the "Southern Gas Corridor Session," discussions took place with the participation of representatives from SOCAR, bp, the Azerbaijani Gas Supply Company, TANAP, TAP, ICGB, XRG, TotalEnergies, the Asian Development Bank, and Boston Consulting Group.

At the "Green Energy Projects" session, presentations were heard from representatives of BOEMDA, SOCAR Green, Masdar, ACWA Power, bp, Xlinks, Zhero, CEER, IFC, the World Bank, the European Bank for Reconstruction and Development, the European Investment Bank, the Asian Development Bank, the Asian Infrastructure Investment Bank, and the OIC Clean Energy Center (CECECO), dedicated to green energy corridors, projects, and interconnectors.

By Khagan Isayev