Being a highly strategic energy project for the European Union,the Trans Adriatic Pipeline (TAP)will secure external funding for the project, Lisa Givert, TAP Head of Communications, told Azernews.
She recalled that in early February 2018, the EIB has decided to grant a loan of 1.5 billion euro stressing that this is in line with TAP’s project financing strategy.
‘Additionally, TAP expects to secure funding from a number of multilateral institutions, such as the European Bank for Reconstruction and Development, as well as Export Credit Guarantee Agencies of a number of OECD countries involved in the supply of goods and services, she said.
In addition, a large proportion of TAP’s financing is foreseen to include commercial lenders, according to Givert.
As a highly strategic energy project for the European Union, TAP is recognized as a Project of Common Interest (PCI) by the EU Commission and EU member states, she noted.
‘There is a strong market rationale for our project. Europe needs new sources of natural gas to meet its long-term demand, fuel economic recovery and diversify energy supply.Gas as the cleanest fossil fuels will continue to play a key, strategic role in the energy mix for decades to come, she said.
Therefore, we remain confident that TAP will secure external funding for the project, Givert added.
Commenting on the investments realized by TAP, she said that TAP is currently implementing several social and environmental investment (SEI) projects and many more projects are in the works.
‘These programs are developed in line with TAP’s funding principles to promote sustainable development and in full consultation & cooperation with communities along the pipeline route, she said.
She went on to add that, in total, TAP will invest over 55 million euro in the communities along the route.
‘As of the end January 2018, TAP has given internal approval to a total of 181 projects, amounting to approximately 30 million euro.These projects are either completed or under development, Givert added.
TAP continues to work towards being ready to deliver first gas from Shah Deniz in 2020, according to TAP Head of Communications.