EEU to create single energy space

The formation of the single energy space and the harmonization of energy policies are the strategic goals of the Eurasian Economic Union in the energy sector, Member (Minister) for Energy and Infrastructure of the Eurasian Economic Commission (EEC) Tair Mansurov said at the international expo forum Exploration, Production, Processing 2015 in Moscow. He delivered a report on the prospects of Eurasian integration in the energy sector and the formation of the common markets of electrical energy, gas, oil and oil products in the Eurasian Economic Union (EEU).

When speaking at the plenary meeting of the international congress “Transformation of energy markets and the role of Russia in the global energy balance” held as part of the forum, Tair Mansurov reminded that the heads of state of Russia, Kazakhstan and Belarus signed the EEU Treaty on 29 May 2014. Armenia and Kyrgyzstan joined the union in 2015. The EEU has abundant primary energy resources and a strong fuel and energy complex.

“The availability of energy resources, the volume of production and foreign trade in these resources are among the most important geopolitical factors in the modern world. The competition for energy resources, their export and the possibility to penetrate new transport routes between major countries is increasing,” the EEC minister stressed.

According to Tair Mansurov, the formation of the single energy space in the EEU and the harmonization of energy policies are the strategic goals of the EEU in the energy sector. It is essential to solve the following issues to reach these goals: to create competitive common markets of energy resources in the EEU, to ensure a non-discriminatory access to the transportation of energy resources, to develop and launch mechanisms aimed at harmonizing energy policies, to facilitate mutual access to the markets of energy resources of the EEU member states.

A well-developed communication infrastructure with a single technological foundation helps promote economically viable energy ties complying with the modern technological requirements and depending on the existing demand in the process of creating common markets of energy resources.

The EEC minister summed up the results of the efforts to create common markets of energy resources in 2015. The concept of formation of the common electrical energy market in the Eurasian Economic Union was approved by the heads of state on 8 May, the work to prepare a corresponding program which will be passed before 1 July 2016 is currently underway. In October the EEC Council at the level of first vice premiers approved the agreement on the methodology of formation of indicative (forecast) balances of gas, oil and oil products in the EEU. Draft concepts of the common markets of gas, oil and oil products are in the pipeline. In line with the EEU Treaty, the common electricity market will become operational by 1 July 2019, common markets of gas, oil and oil products – by 1 January 2025.