The Azerbaijan State News Agency

ECONOMY

Romania praises Azerbaijan’s green energy expertise, says expert

Romania praises Azerbaijan’s green energy expertise, says expert

Baku, September 6, AZERTAC

Romanian expert Iulian Chifu, in an interview with the Azerbaijan State News Agency (AZERTAC), highlighted the key areas of cooperation between Azerbaijan and Romania, particularly emphasizing Azerbaijan’s experience in green energy.

AZERTAC presents the interview:

- How do you assess the current level of economic relations between Romania and Azerbaijan? What needs to be done to further increase this level?

- We are strategic partners in the energy field. The current relations are at an interesting level, with a sensible impetus to raise this level further on different directions like IT, cyber defense, security.

Romania is an old oil and gas country, with the oil being reduced in production to some 40% of Romanian current consumption and the gas somewhere at 90-100% depending on the winters and on the needed support for Republic of Moldova or Ukraine. We have knowledge and experience which could be of some help, especially when managing the transportation lines and the safety and alternatives for energy security.

The level has space of improvements since a lot could be done in mutual investments, trade and transportation infrastructure in the East-West strategic corridor Black Sea-Caspian Sea. The development of those relations is well received in Romania in the framework of the EU-Azerbaijani relationship. Since Romania is EU and a NATO country, everything that could be imagined in this framework would be welcomed. Some evolutions could also be found in tourism, education and research, but also people to people. A full strategic partnership Romania-Azerbaijan could be developed.

- What positive changes has Romania's membership in the EU brought? How can your country play the role of a bridge between the EU and Azerbaijan?

- Romania has exercised the rotational semestrial presidency of the EU Council in the first half of 2019. We have a special relationship with Azerbaijan and this has been translated into the full support of projects that EU has done together with Baku, from the BTC/BTE and their extension to TAP/TANAP – unfortunately we couldn’t have Nabucco – till the underwater green energy cable and data cable that has been signed in Romania and is supposed to travel from Azerbaijan to Romania and further on to Hungary and other EU countries.

Romania is a middle power in EU and, after near 20 years inside the Union, we have numerous experiences in participating at the policies of the EU including in the Caucasus. We had commissioner for multilingual promotion, commissioner for agriculture, lately for Transportation, all involved in policies related to European Neighborhood policies, Association agreements, Free Trade Areas and freedom of circulation. The most important actions and effort have been dedicated by Romania for the Wider Black Sea Region, from security to economic connections and prosperity for the people all around the Black Sea, including the three countries in the Caucasus. And we also had a special envoy for the Caucasus Region which is a Romanian diplomat, coming with his own touch on this relationship.

- As the Azerbaijani economy has entered the post-oil era of its development, how does Romania plan to help Azerbaijan develop the non-oil sector? In which areas could cooperation in the non-oil and gas sector have potential?

- There are several ways to do it. First, to share our own experience in the field. Second, to share experiences with clean energy, decarbonization industry, energy efficiency and circular economies that Romania, as an EU country, has developed.

The added value comes from the new industries including IT, with block chain, a.i, quantum computing involved. But the most important is the development of services and industries close to the need of the populations, linked to traditional products and taking advantage on the existing natural resources and landscapes of Azerbaijan. A full study could be made, if it is not already the case, and Romania is ready to assist when requested, with its added value and knowledge that is considered interesting for the Azerbaijani side.

- How do you see the role of Azerbaijan in ensuring Europe's energy security? How do you assess the importance of the Southern Gas Corridor for your country and Europe as a whole?

- As you know, that was one of the most important issues at stake in the bilateral relations EU-Azerbaijan. The origins of the Southern Corridor is to have alternative sources and routes of transport of energy – oil and gas first – in order to avoid constrains or political conditioning from Russia. It is also a way of supplying the needed energetic resources for the development of the EU states, especially the ones situated in Eastern EU part.

Nowadays Russian war of aggression in Ukraine and consecutive sanctions are blocking at a large respect the transit in that region and the so-call Middle Corridor, involving both our states for transportation from central Asia via the Caspian Sea and the Black Sea, is more important and infrastructure could be developed with the benefit of both our countries. It is a new area of cooperation.

- On December 17, 2022, in Bucharest, four countries signed a strategic partnership agreement for the construction of the Black Sea Energy submarine electricity cable. The cable is designed to supply green electricity produced in Azerbaijan via Georgia and the Black Sea to Romania for onward transportation to Hungary and the rest of Europe. What benefits will this project bring to both countries?

- As you know, the projects and aims of the EU is to move to clean and green energy with an important rate of change. The investments in the EU area are, somehow, limited by the natural sun and wind resources. Azerbaijan is benefiting from important resources and this production could add to the needs of the EU and maintaining the agreed and committed threshold. Here Azerbaijani effort is welcomed, in parallel with its own commitment to green energy related also to its COP 29 presidency.

- What areas of the Romanian economy could interest Azerbaijani investors?

- The oil and gas industry could be of interest. SOCAR is present, but in the refinery and distribution field it should do more. It also could be interesting in developing together chemical industry since Romania is knowledgeable on this field, with great experience, and we could do the best use of the Azerbaijani gas. But the transportation lines should improve, the Vertical Corridor of gas as well as possible LNG East-West transportation lines in the Black Sea are to be considered. Generally speaking, energy intense industries could be interesting as long as they do not excessively pollute and there is a mutual interest in developing them. And there are a lot of industries in security and defense which could be of some interest as well for a mutual development, in Romania or Azerbaijan.

- How will Romania support Azerbaijan in successfully hosting COP29? How can our countries cooperate in developing green energy?

- We already have a fantastic base to do so, in terms of developing green energy. Experiences could be put together. If there’s a good political relationship and the understanding of mutual advantages, things can develop technically in numerous fields. With the COP29 Romania could be of some help in cyber defense and organizational tasks, as long as Azerbaijan is interested and needs such assistance. It is the full respect for Azerbaijan’s own experience that makes Romania act following strictly the needs and requests of the Azerbaijani side. I am sure that you would have an excellent international reunion, that will add to the prestige of Azerbaijan. Moreover, when a principled solution for the Karabakh peace will be reach by the date of the reunion.

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