Russia, EU may return to preparing trans-border infrastructure projects - Shmatko
MOSCOW. Dec 1 (Interfax) - Russia and the European Commission could turn back to preparing an intergovernmental agreement on trans-border infrastructure projects, including the South Stream gas pipeline, Russian Energy Minister Sergei Shmatko told reporters.
This might happen after work done by experts at the start of next year, Shmatko said. Those experts' main job, he said, will be studying the extant conflicts of interests between the EU's 3rd Energy Package and the implementation of infrastructural projects.
EC Commissioner for Energy Gunther Oettinger has said that the EU is in no event going to abandon that package.
"During constructive discussions today, I explained that we consider changes to this document undesirable and unrealistic," he said. There is a possibility the document could be made more flexible, he said, and it is possible that its stipulations could be eased for major infrastructure projects.
"But as to specific projects aimed at modernizing infrastructure, we have agreed to hold an expert-level meeting on how much easing and what exceptions could be used," he said.
Shmatko said that both European and Russian regulators would take part in the meeting. "In this meeting will be participating Russian and European regulators. We will try to determine what can be done in the context of the 3rd Energy Package for exceptions and loosening. This concerns the existing situation with the gas pipeline lines OPAL and NEL, the continuation of Nord Stream, existing Gazprom pipelines on European territory, and the realization of the South Stream project. As the Germans say, the devil is in the details," he said.
The meeting could take place next month or the one after, Shmatko said.
Oettinger added that Russian gas is important for the EU. "We proceed from the assumption that gas consumption in the EU will grow from 530 billion to 600 billion cubic meters of gas, and that gas production in Europe is declining. That will cause Russia's and Algeria's position as leading suppliers to expand, and gas supplies to grow," he said.
As reported, Russia has suggested that intergovernmental document drafts reflect the possibility of the South Stream gas pipeline acquiring the status of 'Trans-European Network' (TEN) or working up for it a legal regime for trans-border projects. This would make possible removing the gas pipeline from the purview of European and national regulators and the 3rd Energy Package. However, Russia's proposals won no favor from the EC. Brussels continues to insist on the creation of the so-called 'Southern Corridor', on the basis of which are to be created the Trans-Caspian Gas Pipeline and Nabucco. Russia's proposals are based on South Stream being a priority.
Shmatko said that he does not exclude the possibility that South Stream will get TEN status. "With the receipt of much information about routes and gas delivery volume, the European Union is, as before, ready to consider the issue of South Stream securing TEN status," he said.
That status would mean that South Stream is a key project aimed at providing stable development and reliable delivery of natural gas to European consumers, and would help with the rapid introduction of the most important transportation capacity. Two Gazprom pipeline projects - Nord Stream and Yamal-Europe - and also Nabucco have this status.
In Russia's agreements with EU member countries, the parties are to lobby for South Stream receiving TEN status.