Turkmen gas can get to Europe fast and cheap

Gas supplies to Europe from the Caspian region can be increased through the purchase of Turkmen gas by Azerbaijan, and this will be a relatively low-cost scheme, which, moreover, can be implemented in a short time, Report informs referring to Eurasianet.

Industry analysts think that such an option doesn’t require the creation of any new infrastructure.

Azerbaijan last December concluded a gas swap agreement with Turkmenistan. Under this plan, the Central Asian nation has begun sending up to 2 bcm/year of gas to northeast Iran. Iran sends an equivalent quantity from its northwest to Azerbaijan, enabling Baku to meet its own growing domestic demand.

That swap deal could be expanded to as much as 6 bcm/year and the extra gas transited to Turkey and on to Europe, said John Roberts, an energy analyst at the Atlantic Council.

"Turkey's existing gas transit network has around 4-5 bcm/year of spare capacity, which could be used to transit extra gas to Europe,” Roberts explained.

While not a huge volume, that could meet demand in some Balkan states. Most importantly, it is technically simple and potentially quick.

In addition to excess capacity, Turkey's gas grid also boasts two separate export pipelines – one to Bulgaria and a larger capacity line to Greece. Unlike the Southern Gas Corridor lines, which are operating at full capacity and would have to be expanded, these two have room to spare.

The line to Bulgaria could only be used in summer when Turkish gas demand is low, explained Arif Akturk, the former head of gas purchasing at BOTAS, Turkey’s state-owned pipeline operator. But the line to Greece “has plenty of spare capacity and could be used year-round,” Akturk said, adding that the gas could then flow from Greece on to the Balkans.