National Territorial Council approves National Sectorial Plan on TAP project

Prime Minister Sali Berisha chaired the meeting of the National Territorial Council gathered about the National Sectorial Plan on TAP project. The participants to the meeting took under consideration and approved the plan on the Trans Adriatic Pipeline (TAP). PM Berisha spoke at length on the issue in his speech delivered at the beginning of the meeting. He said that it’s the final plan of the Albanian authorities on the consortium that constructs the gas pipeline in the territory of the Republic of Albania and offshore.

Expressing thanks to all those who made a contribution to the selection of the project in which Albania plays a key role, the prime minister reiterated that the project is an extraordinary positive development for Albania and the Albanians. “This project places Albania into an important position because this is also the most major project that is ever implemented in Europe”, said the prime minister.

The prime minister appreciated that, “The project gives final solution to the energy concerns of Albania because the gas source from this gas pipeline can fully support the country’s industry and household use for heating and cooking at a very low cost as compared to what amount of electricity is spend today.”

The Trans Adriatic Pipeline (TAP) will transport natural gas from the giant Shah Deniz II field in Azerbaijan, via Greece and Albania, and across the Adriatic Sea to Southern Italy, and further to Western Europe.

The total length of the pipeline will be about 870 kilometres, of which 548 kilometres in Greece, 209 kilometres in Albania, 105 kilometres in offshore and 4 kilometres in Italy. The highest point of the TAP pipeline will be 1800 meters in the mountains of Albania, while the offshore leg will be laid at a maximum depth of 810 metres under the sea level. The project is designed to expand transportation capacity from 10 to 20 bcm per year, depending on supply and demand.

TAP project is of paramount importance for Albania because it will enable Albania connection with the natural gas network of the so-called Southern Corridor of the Gas while building national and general security of Europe for energy and through making a contribution to the diversification of energy supply of the region with gas. TAP project is the first to enable the transit passage of the natural gas through the Albanian territory and it will create an opportunity of supply with natural gas of the Albanian market. TAP project will be one of the most major direct foreign investments in Albania and so it will generate considerable profits and a perspective for the Albanian industry and the local communities.

Speaking on the National Sectorial Plan on TAP project, PM Berisha said the following:

The meeting of the National Territorial Council has an important agenda on National Sectorial Plan on TAP project which consists even the final document of the Albanian authorities for the consortium that constructs the gas pipeline in the territory of the Republic of Albania and offshore.

As it has already become known, the Trans Adriatic Pipeline (TAP) will transport natural gas from the giant Shah Deniz II field in Azerbaijan into Europe and it goes through the Albanian territory. TAP was chosen by the consortium as the most profitable for bringing gas from the fields on the Caspian Sea to Europe. There were other strong competitors and it wasn’t the biggest. The project has a history of periods of difficulties because of competition and other factors.

This is a visionary decision that President Alyev and the consortium took and they had good reason for choosing the project as the most feasible and avoid one by one the other giants and the respective political pressure attached. All the other gas pipelines passing through the territory of South-east Europe unfairly excluded Albania as its territory being the most Western horn of the Western Peninsula and as a consequence Otranto was the biggest strait in the sea that separated the Apennines Peninsula from the Balkans Peninsula.

Let us leave pressures to history, but at present this is the biggest project ever. For the first time in history the big fish doesn’t eat the small fish and TAP goes underway at an initial investment of 40 billion USD. It’s the initial investment because other major fields of gas from Turkmenistan and other areas will join it in the future. This is the most natural route that connects Asia, Europe, its extreme borders and Central Asia with the European continent.

This is an occasion to thank all those who made a contribution to the qualification of this project in which Albania plays a key role. TAP goes through the territory of the Republic of Albania and this territory gives several advantages to the project with 200 km shorter route as compared to all the others. The project is an extraordinary positive development for Albania and the Albanians. It puts Albania into an important position in regard to the European energy problems because this is also the biggest project that is ever constructed in Europe.

The project supplies the Albanians with gas from a friendly country of a traditional friendship and early links. The histories will find a coincidence how Caucasian Albania is bringing gas to the Balkans Albania. Thus, this major project connects the two Albanias, the early Albania of the Caucasus with eternal Albania in the Balkans. And this is of importance and value.

The project gives a final solution to the energy concerns of Albania because the gas source from this gas pipeline will fully support the country’s industries and even the household use for heating and cooking and at a much lower cost as compared to what is spent today for electricity.

The project generates incomes for the state budget, too. According to an Oxford study it generates about 150 million USD incomes annually. But, in the framework of its construction, beginning from expropriations up to employments there are tens and thousands of Albanian families that benefit in all the aspects. In its trajectory there will be built several supportive businesses.

TAP project is a good omen for the great gas reserves that Albania seems to have, reserves that are under exploration. Thus, if tomorrow certain substantial gas fields will be explored in Albania, the gas of these fields could join and be used by the TAP and distributed into Europe. And finally, Albania has a key role because is one of the epicentres of its distribution.

We signed a memorandum of good understanding with the neighbouring countries, Montenegro, Croatia and Bosnia-Herzegovina quite interested in the Azerbaijani gas. Naturally, in the first stage gas cannot be sufficient, but it is certain that from Seman of Fier will be realized its distribution into the Italian market as its main destination. But, a pipeline from Seman will move toward the North, Montenegro, Croatia, Bosnia; I hope toward Kosova and further on.

The fact of the matter is that the EU has an Ionian-Adriatic Pipeline installation, i.e. this pipeline is envisaged to extend from Fier to Slovenia and while looking for a gas source, TAP is actually the most feasible source of gas. TAP will be undertaken next year and its construction is due to be completed by 2018 and by 2019 Albania is due to obtain the first amounts of gas.

I would like to gratefully thank President Aliyev who confirmed determination to the project and the friendliest feelings toward Albania and the Albanians. Naturally, the consortium has chosen the project in consideration of its economic and financial profitability, but the positive assessment and support of the Azerbaijani government and President Aliyev have been unwavering. It’s a pleasure to be the first and it belongs to us to fully complete the relevant documentation on this gas pipeline. TAP teams have travelled and they have conducted a thorough examination of all the Albanian territory through which TAP goes through; they have held meetings with the local community and have done a very good job. The fact of the matter is that by this permission, Albania authorizes them to start work at the most appropriate time for them.

energjia.al, 04.07.2013