Turkey has ambitious plans to establish itself as a central hub for natural gas pricing and energy trade. The country aims to achieve this by implementing a project to create a gas hub within its territory, Turkey's Minister of Energy and Natural Resources Alparslan Bayraktar told Sabah.
"Turkey possesses unique advantages as a physical base for oil and natural gas. Russia is supportive of the idea of establishing a gas hub in Turkey. We aim to become a center where natural gas prices are set, and energy trade is conducted. This involves the implementation of an electronic trading and pricing system. With storage facilities in place, it becomes possible to purchase gas at competitive prices and then sell it based on demand conditions, thereby generating revenue from the trade," the minister said.
On July 29, Russian President Vladimir Putin confirmed that the idea of establishing a gas hub in Turkey is still under consideration. The project envisions the creation of an electronic trading platform for gas supplies to Europe, taking into account Turkey's increasing significance as a transit country for gas to the continent.
In October 2022, Putin proposed the creation of a hub on Turkish soil to redirect the lost volume of transit through Nord Stream. Turkish authorities have expressed their readiness, stating that the country's infrastructure is nearly prepared for the hub project's realization. However, certain amendments to the legislation are necessary for its implementation. In early April, the first legislative decisions were made, focusing on the activities of the Turkish oil and gas company Botas and several other suppliers, as part of the initial steps towards facilitating the gas hub initiative.
GSV "Russia - Islamic world"
Photo: Şinasi Muldür/Pixabay
Based on materials from TASS