1. Transit Country- Case Georgia
Liana Jervalidze
Expert on Energy and Regional Issues
International School of Caucasus Studies, Ylia State University
Kiev, November ,
Liana Jervalidze
4/21/2017

2. Content Georgia, historical Transit Country for Azerbaijani Oil
Existing International Energy Transportation Projects: BTC, BTE,
Problems with Expansion of these Projects and potential solutions
Existing Regional Energy Transportation Projects: Baku/Supsa oil pipeline, North South gas pipeline
Problems of expansion and potential solutions
Georgia’s Domestic Market:
Electricity (liberal, open, export oriented)
Gas
Oil products
Solutions: Transparent and Stable Transit Conditions
Liana Jervalidze
4/21/2017

3. First Organized Oil business in Baku , Transportation through Georgia and Iraqi Port of Basra
Geoffrey Decket, on mission of UK to Iranian court organized this business
It came to the end in 1604 when Persian authorities decided to take it under control
Liana Jervalidze
4/21/2017

4. Transit through Georgia to Europe and South East Asia, under Nobels and Rothshields
Liana Jervalidze
4/21/2017

5. Existing International Energy Transportation Projects: BTC,
BTC commissioned in 2006, current capacity 50 mln tons per year
Liana Jervalidze
4/21/2017

6. Oil Transit trough Georgia
BTC -45 mln tons
Baku/Supsa mln tons
Railway- 8-10mln tons
Liana Jervalidze
4/21/2017

7. Problems of Oil Transit Expansion
Competition by Russian, Chinese and Iranian Routes blocking the development of CrossCaspian Infrastructure
Political tensions between Georgia and Russia
Liana Jervalidze
4/21/2017

8. Gas Transit through Georgia: BTE, North/South gas pipeline
Baku/Tbilisi/Erzurum gas pipeline – 6.6 bcm per year
North-South gas pipeline – 6 bcm per year
Current total transit of gas – 6. 5 (2009)
Liana Jervalidze
4/21/2017

9. Problems of Gas Transit Expansion
Difficulties of Azerbaijani/Turkish negotiations on Azerbaijani gas transit
Blockages on the way of building of TransCaspian gas pipeline
Lack of assurance on the demand side on European market
Liana Jervalidze
4/21/2017

10. Solutions of Gas Transit Expansion in South Caucasus Corridor
Building of Azerbaijani/Turkmen interconnector on the Caspian sea to open the western route for Turkmen gas
Liana Jervalidze
4/21/2017

11. Solutions of Gas Transit Expansion in South Caucasus Corridor
CNG and/or LNG terminals on the Black sea
Liana Jervalidze
4/21/2017

12. Main Problems of Gas Transit Expansion
Strong competition by transit routes across Russia, China and Iran
Concerns regarding the demand on gas in EU
Liana Jervalidze
4/21/2017

13. Georgia’s Domestic Market: Electricity (liberal, open, export oriented)
70-80% based on hydro power pending on the level of precipitation
Further development of Hydro
Transmission lines renovated or built new
Well connected with neighboring countries grids
Totally privatized with some exceptions
Access to export infrastructure
Liana Jervalidze
4/21/2017

14. Georgia’s Domestic Market: dependent on one source but different suppliers
Suppliers: SOCAR and Shakh Deniz Consortium
Transit fee in kind 10% from North/South corridor
Liana Jervalidze
4/21/2017

15. Annex 2: Georgia’s Domestic and Internal Gas Pipeline Network, Existing and Projected
Source : GIOGC

16. Solutions
Transparent and Stable Transit Conditions across the Transit Chain
Develop CrossCaspian & CrossBlack Sea Transit Networks
Adopt and Implement Similar, competitive and acceptable for Parties Interested transit conditions
Liana Jervalidze
4/21/2017

17. Thank You for Attention
Liana Jervalidze
4/21/2017