Russia Winner in Energy Transit Deal With Turkey
Turkey chooses cooperation with Russia on South Stream energy project.
When the Shah Deniz Consortium opted for Trans-Adriatic Pipeline (TAP) instead of Nabucco, Russia technically won the battle for Europe’s fourth energy corridor. If Turkey, which granted a permit for Russia’s South Stream gas pipeline project, is not able to partake in some of this Russian success, it is because Ankara did not give permission — in an attempt to achieve its own energy ambitions, despite its intractable political and economic ties with Russia.
The fourth energy corridor, known also as the southern energy corridor, aims to bring Caspian gas to Europe via southern routes instead of northern Russian territories. During the project’s battle to become the fourth energy corridor, Turkey’s full commitment to the objective of building the corridor was certain but its preference among competing gas pipeline projects to build the corridor remained unclear.
Besides its 16.5% share in the Nabucco gas pipeline company — backed by the EU — Turkey also announced the launch of the Trans-Anatolian Pipeline (TANAP) with Azerbaijan and granted a permit for the construction of Gazprom’s South Stream gas pipeline.
Turkey preferred not to give exclusive support to a single project. Its general strategy was to support multiple options simultaneously. The Turkish government as well as public and private energy companies had links with multiple competing projects.
