News From Tu rkey Azerbaijani Gas Stuck Due to the Line The Azerbaijani gas, which was expected to relieve Turkey during winter months cannot arrive as the line cannot be completed. Azerbaijan stated that Russia selling Azerbaijani gas to Turkey with low prices is against its interests. While the erisis encountered in BOTAŞ financial situation is tried to be overcome, bad news are coming from countries from which we will import gas. There is o problem in the Azerbaijani gas that was expected to be received at the end of this year. Turkey could not complete the pipeline supposed to be completed by November. Azerbaijani Deputy Prime Minister Abid Sherifov sent o letter to the government, and reminded that there will be problems in purchasing the natural gas to be imported from Russia next year. Sherifov said, "Russia believes selling Azerbaijani gas to Turkey with low prices is against its interests, and believes that this will ereate competition". Therefore Sherifov said that if they cannot purchase gas from Russia in 2007, they will be obliged to use the natural gas they had intended to seli to Turkey, tor their own domestic use. Sherifov requested Turkey to be understanding in this respect. Furthermore, Georgia is encountering serious problems as the price of gas from Russia is increased to two-fold, and therefore asked for o share from the Shahdeniz gas that Azerbaijan intended to give to Turkey. The prime ministers of the parties are expected to come together and find o solution for the problem. ------------------~ ------------------ Suggestion from the IMF to Share the Burden of Energy with the Consumer IMF Turkey Representative Hugh Breden- nancing methods for this increase, and kamp stated that energy PEE's losing is underlined the importance of these in not sustainable, and that they agree with terms of sustainability and financial conthe analysis of the Prime Minister about sistency. Bredenkamp emphasized the the nation sharing the burden. Breden- facı that the cost of energy, and therekamp stated that o single digit figure is fore the prices, depend on the world possible as the end of the year inflation markets, and said, "lf the world energy rate, and said "We are expecting the in- prices increase, the cost burden that will flation rate to be close to l 0%". follow is inevitable". Bredenkamp stated said, "in order to make up for the increase in the world energy prices, either the consumers have to pay more, or the losses of the energy PEE's have to be paid by the Turkish tax payers". Bredenkamp stated that it is o very good idea to share the increasing energy prices with the consumers, and said that they agree with the analysis of the Prime Minister Recep that an energy importing country like Tur- Tawip Erdoğan to share the burden due Bredenkamp also mentioned the in- key does not have much choice in the to increasing energy costs, with the nacrease in the cost of energy and the fi- financing of increasing energy costs, and tion. ------------------~ ------------------ Silivri's Capacity to be 3 Billion m3 Hilmi Güler, the Energy Minister, said that they are working on increasing the capacity of the Silivri storage, which will be the first natural gas depot in Turkey, to 3 billion cubic meters. Turkey decided to take the first concrete step this year, regarding the gas storage requirement, which was emphasized pursuant to o natural gas crlsis encountered between Russia and Ukraine in the beginning of the year, and decided to take into service the l .6 billion cubic meter storage in Silivri. During the opening speech Güler made at the Turkish Parliament Planning and Budget Commisslon while the budget of the ministry as being discussed, said that the Silivri storage area will start its services at the end of the year, and that preparations for new gas storage projects shall start, Güler also stated that following the explorations, they have also discovered _, Doğa l Gaz Dergisi, 2006/12 800 million tons of lignite reserves, the total value of which is 16 billion dollars. On the other hand, Hilmi Güler, the Energy Minister, made the openlng speech at the Planning and Budget Committee, where the budget of the Ministry of Energy was discussed, and said that the exploration activities carried out recently by Türkiye Petrolleri Anonim Ortakl ığı [TPAO) have borne fruits, and that natural gas production is planned in Akçakoca, in Western Black Sea, by the end of the year. Güler stated that nine of the 13 wells opened in the Thrace region as of the end of September had natural gas, and that they are expecting o production of 700,000 cubic meters of production per doy, through these wells.
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