{"id":1460,"date":"2022-09-11T17:09:58","date_gmt":"2022-09-11T17:09:58","guid":{"rendered":"http:\/\/roydadnaft.ir\/English\/?p=1460"},"modified":"2022-09-11T17:10:01","modified_gmt":"2022-09-11T17:10:01","slug":"turkiye-affected-by-energy-crisis-but-still-sees-hassle-free-winter","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/1460\/","title":{"rendered":"T\u00fcrkiye affected by energy crisis but still sees hassle-free winter"},"content":{"rendered":"
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T\u00fcrkiye has been affected by the energy crisis, yet in contrast to Europe, it is not expected to face any disruptions this winter as long as gas suppliers follow through on their pledges, the country\u2019s energy chief said on Saturday.<\/p>\n\n\n\n

Fears in Europe have increased over a potentially bleak winter after Russia announced it was keeping its main gas pipeline to Germany shut. Power costs have rocketed in the last year, driven by record gas prices as Moscow curbed supply, blaming cuts on technical issues and Western sanctions over its invasion of Ukraine.<\/p>\n\n\n\n

European governments have accused Moscow of using energy as blackmail, in retaliation for Western support for Ukraine. Russian gas pipeline deliveries via three main routes to Europe have fallen by almost 90% in the last 12 months, Refinitiv data show.<\/p>\n\n\n\n

“Europe is going through a serious bottleneck in both supply and pricing,\u201d Turkish Energy and Natural Resources Minister Fatih D\u00f6nmez told an event in the northwestern province of Bilecik.<\/p>\n\n\n\n

“If natural gas suppliers comply with their shipment schedules, I hope we will go through this winter without any problems. Yet, unfortunately, we are also adversely affected by the developments in the world in terms of prices,\u201d D\u00f6nmez said.<\/p>\n\n\n\n

The minister\u2019s remarks reaffirm earlier statements by top Turkish officials, who have been giving reassurance that no disruptions to gas supply were expected this winter.<\/p>\n\n\n\n

President Recep Tayyip Erdo\u011fan last week said he did not expect T\u00fcrkiye to experience any energy shortages this year, as he blamed Europe\u2019s energy crisis on the sanctions imposed on Russia.<\/p>\n\n\n\n

“Europe is actually reaping what it sowed,\u201d Erdo\u011fan said adding that sanctions drove Russian President Vladimir Putin to retaliate using energy supplies.<\/p>\n\n\n\n

“I think Europe will experience serious problems this winter. We do not have such a problem,\u201d he stressed.<\/p>\n\n\n\n

Storage facilities near full capacity<\/strong><\/h3>\n\n\n\n

T\u00fcrkiye\u2019s underground natural gas storage is expected to reach its full capacity by the end of the month. The volume at its underground facilities will have reached 5.6 billion cubic meters (bcm) \u2013 some 10% of T\u00fcrkiye\u2019s annual gas consumption.<\/p>\n\n\n\n

The country has two facilities \u2013 the Silivri underground natural gas storage facility and the salt caverns at the T\u00fcz G\u00f6l\u00fc (Lake Tuz) underground natural gas storage facility. Most of the gas is at the Silivri facility, where recent upgrades raised the storage capacity by almost 50% to 4.6 bcm from 3.2 bcm. The two facilities will hold enough gas to cover needs for more than a month.<\/p>\n\n\n\n

In an effort to diversify its energy sources, officials have said T\u00fcrkiye has acquired sufficient supplies to cope with demand. The country imports natural gas from Iran, Azerbaijan and Russia through pipelines, and buys liquefied natural gas (LNG) from Qatar, Nigeria, Norway, Algeria and the U.S.<\/p>\n\n\n\n

“We are in a very good position with our pipelines, LNG and FSRU (floating storage and regasification unit) facilities and underground natural gas storage facilities,\u201d said D\u00f6nmez.<\/p>\n\n\n\n

T\u00fcrkiye currently hosts four LNG terminals. A fifth terminal is under construction in Saros in the Edirne province, which should take 12 months to complete. An FSRU is also an option that is in the works for use as a backup.<\/p>\n\n\n\n

The country is also preparing to use its own natural gas it discovered in the Black Sea as soon as the first quarter of 2023.<\/p>\n\n\n\n

Pipes are being laid for an underwater pipeline network that will transport onshore the 540 bcm of gas reserve that was gradually discovered in the Black Sea since August 2020. It marks T\u00fcrkiye\u2019s largest-ever natural gas discovery.<\/p>\n\n\n\n

T\u00fcrkiye has tried to steer a middle course between Moscow and Kyiv and has pursued intense diplomatic efforts to end the war that has killed tens of thousands and forced more than 10 million Ukrainians from their homes.<\/p>\n\n\n\n

T\u00fcrkiye has criticized Moscow\u2019s invasion and provided Ukraine with arms, including drones, which played a significant role in deterring a Russian advance early in the conflict, while refusing to join the West in imposing sanctions on Russia \u2013 a stance it says has helped its mediation efforts reap results.<\/p>\n\n\n\n

Subsidizing households\u2019 bills<\/strong><\/h3>\n\n\n\n

Energy woes in Europe keep getting worse. Benchmark gas prices have surged about 340% in a year and jumped even further after Russia\u2019s state-controlled Gazprom last week said it would indefinitely extend a shutdown to the major Nord Stream 1 gas pipeline.<\/p>\n\n\n\n

European Union leaders are proposing emergency measures including skimming from energy companies\u2019 profits, incentivizing power saving to a price cap on Russian gas.<\/p>\n\n\n\n

Putin threatened to sever supplies if such limits were imposed, warning the West it would freeze like the wolf\u2019s tail in a famous Russian fairy tale.<\/p>\n\n\n\n

To help households cope with rising costs, T\u00fcrkiye in 2021 introduced fuel, electricity and gas subsidies worth TL 200 billion, with more than TL 300 billion seen this year, yet energy costs have risen much faster than anticipated.<\/p>\n\n\n\n

The government had been subsidizing around 80% of a natural gas bill through various supports, D\u00f6nmez said.<\/p>\n\n\n\n

“We continue to increase our subsidies, in other words, our support to citizens, in order to minimize the impact of the increase on our citizens. We apply an 80% subsidy on natural gas. In other words, we meet TL 80 of a TL 100 bill as the state,\u201d the minister noted.<\/p>\n\n\n\n

T\u00fcrkiye increasingly relies on Russia for trade and tourism. Russian gas covers almost half of Turkish energy needs, and Russia\u2019s atomic agency is building T\u00fcrkiye\u2019s first nuclear power plant.<\/p>\n\n\n\n

T\u00fcrkiye\u2019s annual gas consumption rose from 48 bcm in 2020 to a record 60 bcm in 2021 and is expected to reach 62 bcm to 63 bcm this year, according to official figures.<\/p>\n\n\n\n

T\u00fcrkiye pledged to slowly transition to paying for the Russian imports with rubles at a summit between Erdo\u011fan and Putin in Sochi last month.<\/p>\n\n\n\n

Analysts believe the deal will ensure that Russia will continue to supply T\u00fcrkiye with gas through the TurkStream pipeline running under the Black Sea.<\/p>\n

Updated on