By Azernews

Economy Minister Mikayil Jabbarov has said that Azerbaijan is ready and open to discussing the issue of increasing energy supplies to Europe, Azernews reports.

He made the remarks speaking at the World Economic Forum in Davos.

"Azerbaijan is asked to increase energy supplies. We are happy to increase supplies to the market," he said.

The minister underlined that however, investments in the sector have been insufficient over the past few years due to the changed policies of financial institutions towards fossil fuels, including natural gas.

He emphasized that Azerbaijan is also a major supplier of gas to Georgia and Turkey, from where it is transported to Greece, Bulgaria, Italy, and Albania.

"We are currently working with our partners to increase gas supplies to Europe," he said.

Jabbarov added that Azerbaijan pursues a policy of joint development of its natural energy resources.

"In addition to our large national oil company, we also have major international partners, such as, for example, the EBRD," he said.

He stated that Azerbaijan began the process of developing investments in pipeline infrastructure, exploration, development, and production back in 2012.

"The issues on our agenda today are the level of additional commercial risks that local and foreign companies in Azerbaijan could take now, how to manage these risks, how to use the support of international institutions, and the need for a smooth transition to green energy," he said.

The minister also noted that Azerbaijan seeks to be a stable partner in terms of supply of goods and services, participation in political dialogue, and the overall priority of macroeconomic and sound financial base.

To recall, with the completion of the TAP (Trans-Adriatic Pipeline) construction on December 31, 2020, Azerbaijan began commercial gas supplies to Europe via the Southern Gas Corridor. The European Commission's Southern Gas Corridor initiative aims to build a natural gas supply route from the Caspian and Middle Eastern regions to Europe. The route from Azerbaijan to Europe consists of the South Caucasus Pipeline, the Trans-Anatolian Pipeline (TANAP), and TAP.

Last year, TAP transported 8.1 billion cubic meters of gas to Europe. By late 2022, Azerbaijan plans to increase gas supplies to Europe to 9.1 billion cubic meters, and in 2023, the volume of gas supplies is expected to reach 11 billion cubic meters.

Additionally, today, the final work on the Interconnector Greece-Bulgaria (IGB), which will transport natural gas from Azerbaijan to Bulgaria, is in full swing. Gas was supposed to start flowing via IGB back in 2020, but the delay in implementing the project has been delayed for a variety of reasons.

According to the forecast of the Azerbaijani government for oil and gas production in the country until 2026, about 48 billion cubic meters of gas will be produced in 2023, 49 billion cubic meters in 2024, and about 50 billion cubic meters in 2025.