Trend News: Gazprom Deal Can Harm Georgia

Azerbaijan’s Trend News Agency reports on secret and open talks between Georgia and Russia regarding gas supply.

According to the report, Georgia has no issues with Azerbaijan regarding gas supply, so why does it seek to disrupt the already established relations with a reliable supplier that is Baku? Who will lose more from a such policy – Georgia, or Azerbaijan?

The publication also mentions the meeting of Georgian Energy Minister Kakha Kaladze with the representatives of Russian Gazprom appeared in Georgian media. “It is difficult to understand why Georgian leadership decided to get back on the Russian gas needle at a time when all of Europe is trying to get off it.”

“One thing is for sure – the problem is not with Azerbaijan, which has long-term commitments with Georgia, and executes them. Meanwhile, Georgia's growing gas consumption remains an important factor. Currently, the annual gas consumption in Georgia is about two billion cubic meters (bcm),” the news agency reports.

According to Trend News, growth of consumption in Georgia is only 8-10 percent per annum - the amount that Azerbaijan can supply additionally without any problems.

“One shouldn’t overlook the social factor as well: Azerbaijan's SOCAR conducts active gas supplying in Georgia and intends to increase the supply level to the country to 82 percent by 2017. Will Gazprom carry out such work in Georgia?” states the article.

“Azerbaijan will be able to redirect the same gas volumes to Turkey and Europe, which now go to the gas distribution network of Georgia, selling it at a better price for itself. Both Turkey and the European importing countries will be happy to receive additional volumes of gas, which is alternative to that of Russia” the article says.

As the article reads, in such a situation, the answer to the question, who will lose more if Georgia replaces Azerbaijani gas with that of Russia? becomes obvious.

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14 January 2016 15:14