Romania and Azerbaijan cooperate closely in the energy sector, especially in the field of gas supplies. The agreements signed between SOCAR and Romgaz open up new prospects for both countries. The development of gas infrastructure makes it possible to guarantee the reliability of supplies and contribute to strengthening the energy security of Europe.
Through recent energy agreements, Romania is gaining access to reliable energy sources, while Azerbaijan is expanding its markets and strengthening its position as a key player in the energy market. The two countries' partnership also contributes to achieving common goals of reducing dependence on traditional energy sources and switching to environmentally friendly ones.
Report presents an interview with the Energy Minister of Romania Sebastian Burduja, who spoke about cooperation between the two countries within the framework of the SGC, the project of laying a cable under the Black Sea for transmitting electricity and the significance of this project not only for Romania itself, but also for Moldova, about the possibility of increasing gas supplies from Azerbaijan, etc.
- What specific measures is Romania taking to strengthen cooperation with Azerbaijan within the framework of the Southern Gas Corridor?
So, first of all, Romania strongly supports gas as a transition fuel, which is a specific position in the EU, where indeed much of Europe now discourages gas consumption because it is a fossil fuel. After all, Romania has its own gas reserves. We are working hard to promote natural gas as a transition fuel. We are moving off of coal, but we cannot give up on coal gas, and some would say even nuclear, while having secure energy.
We have cooperation at the level of TRANSGAZ or transport gas company with Azerbaijan, and we're promoting the infrastructure, not necessarily in Romania, because we have enough transit capacity, but in Bulgaria.
So the gas coming from Azerbaijan can flow into Romania through Bulgaria if the Bulgarians invest a little bit into increasing capacity, and then we have the pipe that takes the gas all the way to Hungary.
- What benefits can Azerbaijan and Romania derive from increasing collaboration in gas transit through Romanian territory to other European countries?
Financial benefits are significant. I mean, first of all, it's a resource both of our countries have. Azerbaijan has a lot more gas than Romania, but certainly, we want to be able to have this infrastructure in order to promote transit. For Romania, transit means income through a transit tax, and for Azerbaijan, of course, it means a market that can purchase the gas that it has. So, in addition to financial benefits, there are geopolitical benefits.
Romania and Europe are seeking an alternative to other options from reliable partners, and we're also promoting the idea of a route from the Caspian Sea to the Black Sea. The LNG terminal on the Black Sea, which will receive Azerbaijani gas in Georgia, will liquefy it, deliver it to the port of Constanta, regasify it and transport it through pipes to the rest of Europe.
- At what stage is Romania's implementation of the Black Sea subsea electric cable project? What is the overall situation on that project that involves Azerbaijan, Georgia, Hungary, and Romania?
- For the construction of the underwater Black Sea cable, four countries - Azerbaijan, Georgia, Romania and Hungary - created a design company. Transport operators have come together and are now working on a feasibility study, having entered into a contract with a company developing a package of technical documentation. Once this is done, perhaps in six months, maybe later, we will know exactly how much the project costs, whether it is worth pursuing commercially, what the steps are, how long it will take and how complicated it is.
- This cable is assumed to deliver electricity from Azerbaijan through Georgia and the Black Sea to Romania for further transportation to Hungary and other countries. Is it possible that Moldova will join this project in the future?
- Moldova still depends on Transnistria, which is part of Moldova, for electricity production. We have power lines with Moldova that also go through southern Ukraine and Gagauzia, a region in southern Moldova that is not always completely safe. We are building an interconnector in the northern part of the country. So, by receiving additional electricity from the Caucasus, we will be able to route it through these various interconnections in the south that already exist and in the north that will be created by 2027. And we are also working on a middle connection from the city of Iasi to Chisinau.
- Does Romania have plans to increase gas supplies from Azerbaijan?
- It depends on local demand. We have gas in the Black Sea. Theoretically, gas in the Black Sea will come from the Neptune deep project, which will be launched in 2027. Current consumption in Romania is about 9.3 billion cubic meters per year. Domestic production is about 9-10 billion cubic meters. In this way, we cover our natural gas needs.
Our production should double in 2027, so perhaps we will have some gas for export too. But who knows? By 2027, more gas could be used for fertilizer production and pharmaceuticals. We'll see how the next few years go.
But, of course, for the rest of Europe, access to Azerbaijani gas, in my opinion, is a critical necessity, because there is no other safe alternative to Russian gas.