Azernews.Az

By Gulgiz Dadashova

The Italian Parliament on December 5 approved the ratification law on the tri-lateral Intergovernmental Agreement (IGA), following the signing of an IGA between Italy, Greece and Albania on the Trans Adriatic Pipeline (TAP) project in February 2013.

The IGA solidifies a range of key commitments by the three sides to the forward development, construction and operation of the TAP pipeline. The document will ensure that the states cooperate on the timely delivery and efficient operation of the TAP pipeline.

Following the ratification, TAP's Managing Director Kjetil Tungland thanked the Italian side for the support and dedication resulting in the important approval of the ratification law.

"This is a key milestone that has been achieved ahead of the Shah Deniz Final Investment Decision later this year. The IGA provides long term security for the project to move forward towards construction and in making the TAP project a reality," he said.

TAP's External Affairs Director Michael Hoffmann, in turn, said the approval of the ratification law on the IGA further reinforces the host governments' support for TAP from a legal and regulatory perspective. "For TAP, this puts in place the final high level international political agreement, and provides Shah Deniz with further reassurance prior to its final investment decision, expected at the end of this year."

TAP Italy Country Manager Giampaolo Russo also welcomed the ratification of the document.

"We are pleased with our collaboration with Italy and we look forward to continuing our strong cooperation in the same spirit of open dialogue and joint efforts that this project can bring to Italy and her citizens," he said.

TAP is the final part of a 3,500km set of pipeline projects being developed to transport Shah Deniz Phase II gas to Europe landing in Southern Italy. The Trans Adriatic Pipeline is being developed according to the highest international standards and will bring significant foreign direct investment and jobs associated with the construction of this major pipeline across the entire value chain.

TAP will transport natural gas from the giant Shah Deniz II field in Azerbaijan to Europe. The approximately 870 km long pipeline will connect with the Trans Anatolian Pipeline (TANAP) near the Turkish-Greek border at Kipoi, cross Greece and Albania and the Adriatic Sea, before coming ashore in Southern Italy.

TAP's shareholding is comprised of BP (20%), SOCAR (20%), Statoil (20%), Fluxys (16%), Total (10%), E.ON (9%) and Axpo (5%).