"European Commission: “If the South Stream is suspended, we have to develop the Southern Gas Corridor”

The European Commission (EC) has approved the strategy of the EU Energy Union, the European Energy Commissioner Maros Sefcovic said at the strategy presentation Wednesday.

The European Energy Commissioner said that the strategy defines what the EC intends to do in the energy sector within the next 5 years. According to Sefcovic, 14 out of current 29 European Union Commissioners will be working at establishing the Energy Union, and the main task of the body will be to provide reasonable energy prices to European consumers.

"The energy prices are the criterion, which will be the basis for the European business and private consumers to judge on the efficiency of the Energy Union. In order to bring down prices, we intend to put more pressure on energy producers by creating a full-fledged competitive energy market," Maros Sefcovic said.

Sefcovic added that according to rules of the Energy Union, before signing a contract with the foreign energy resources suppliers, the EU countries should agree the terms of contract with the EC. This mainly concerns gas contracts. We have to be sure that they meet European norms.

Speaking about the Southern Gas Corridor, Sefcovic said that the project, which costs $45 bln, is successfully being implemented by Azerbaijan, Turkey and other participating countries: “The Southern Gas Corridor will deliver first gas to Europe in 2019-2020. We are also conducting negotiations with other gas supplying countries – Turkmenistan, Iran, Iraq and other countries with rich hydrocarbon reserves. Diversification is important for European Union”.

Sefcovic noted that within the Energy Union, the European Commission will carry out stress-test of European energy networks.

EU Climate Action and Energy Commissioner Miguel Arias Cañete said that Russia will still be partner of EU and great gas supplier: “At the same time, we want to diversify our gas supply. If the South Stream is suspended, we have to develop the Southern Gas Corridor, conduct negotiations with Azerbaijan and Turkmenistan on bigger gs contracts”.

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