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  • US, Azerbaijan Sign Energy Security Agreement

    Journal of Turkish Weekly, Turkey
    March 23 2007

    US, Azerbaijan Sign Energy Security Agreement

    Friday , 23 March 2007


    The United States and Azerbaijan Thursday signed an agreement aimed
    at expanding oil and gas production in Azerbaijan and the Caspian
    region and moving it to European markets. The deal was signed during
    a State Department visit by Azerbaijani Foreign Minister that also
    included talks on the Baku government's human rights record, and the
    status of Nagorno-Karabakh. VOA's David Gollust reports from the
    State Department.

    The agreement signed by the Azerbaijani Foreign Minister and
    Secretary of State Condoleezza Rice establishes a high-level dialogue
    on energy security in the Caspian region, largely aimed at promoting
    new oil and gas export routes that bypass Russia and Iran.

    But U.S. officials say the effort is not directed against any
    country, and that diversifying energy supply lines to Europe would
    strengthen competition, and benefit everyone, including Russia and
    its giant gas export company Gazprom.

    The United States has strongly supported new pipeline routes that
    carry Caspian-region oil and gas through Azerbaijan and Georgia and
    avoid transshipment to Europe via Russia's pipeline monopoly.

    One such oil pipeline, the Baku-Tbilisi-Ceyhan route, opened this
    year. U.S. officials say a priority of the dialogue will be to
    further develop a new gas pipeline through the northeastern Turkish
    city of Erzurum - as well as an envisaged distribution pipeline,
    called Nabucco, that would carry Caspian gas onward from Turkey to
    Bulgaria, Romania, Hungary and Austria.

    In a talk with reporters, U.S. Deputy Assistant Secretary of State
    for European and Eurasian Affairs Matthew Bryza said the projects
    will bring energy competition to Europe but not greatly affect the
    huge market share held by Russia and Gazprom. "Russia already
    provides 65 per cent of the gas to Turkey, already provides 40 per
    cent of the imported gas into the rest of Europe. So Gazprom has a
    huge market share already. And what we're trying to do is increase
    competition, so that the European gas market isn't as dysfunctional
    as it is right now," he said.

    Bryza said the Azerbaijani Foreign Minister also met with Assistant
    Secretary of State for Democracy, Human Rights and Labor Barry
    Lowenkron in a second meeting of a bilateral dialogue on democracy
    and human rights.

    The United States has been critical of the Azerbaijani government's
    conduct of elections and treatment of opposition activists.

    Bryza said while the Baku government "has a long way to go" on
    political reform, Azerbaijan could potentially become the world's
    first secular democracy with a majority Shiite Muslim population.

    Deputy Assistant Secretary Bryza said the talks also covered the
    long-running dispute over the Armenian controlled Nagorno-Karabakh
    enclave in Azerbaijan.

    Bryza, the U.S. co-chair of the Organization for Security and
    Cooperation in Europe's "Minsk group" seeking an end to the conflict,
    said considerable progress has been made on a set of principles
    governing a settlement, and he said he hopes for renewed momentum
    after parliamentary elections in Armenia in May.

    "We anticipate that right after the Armenian elections on May 12th,
    the presidents (of Azerbaijan and Armenia) will come back together.
    And we hope, we hope then, that they'll get close to finalizing the
    document. I don't want to say they're going to finalize it, because
    it's not fair to back them into a corner. There are still some
    differences between them," he said.

    The proposed framework is reported to include the withdrawal of
    Armenia-backed forces from areas around Nagorno-Karabakh, accompanied
    by security guarantees and an international peacekeeping force. At a
    later date a referendum in the region would determine its final
    status.

    The United States, Russia and France co-chair the Minsk group, which
    also includes several other European countries as well as Armenia and
    Azerbaijan.

    Source: VOA News

    From: Emil Lazarian | Ararat NewsPress
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