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  • North-South Energy Routes More Attractive than East-West Ones,

    Georgian Daily, NY
    Jan 25 2009


    North-South Energy Routes More Attractive than East-West Ones, Moscow
    Analyst Says

    January 24, 2009
    WINDOW ON EURASIA
    Paul Goble

    Vienna, January 24 ` Many Western analysts have suggested that one
    reason Russian aviators dropped a bomb only 50 meters from the
    Baku-Tbilisi-Ceyhan pipeline during Moscow's invasion of Georgia in
    August was to highlight how insecure that link between the Caspian and
    the West which bypasses Russian territory has become.

    But without acknowledging that sending such a message was among the
    Kremlin's war aims, Moscow commentator Aleksandr Shustov argues that
    "one of the important consequences of the war" has been growing
    recognition by all parties of just how "insecure" all pipelines and
    other transportation arteries through Georgia are.

    And that forceful demonstration has renewed interest in the
    north-south route despite American opposition to any pipeline across
    Iran and the desire of both the US and the EU that Moscow not be in a
    position to control all hydrocarbon exports from the region and thus
    use gas and oil as a political weapon against both exporters and
    importers.

    In his article, Shustov traces the history of TRACECA, the group of
    countries committed to the transit of gas and oil and other goods over
    what some have called a revived "Great Silk Road," the key role that
    Georgia and Azerbaijan have played as transit states for these
    hydrocarbons, and the way in which Armenia and Iran have been largely
    excluded this project.

    Shustov acknowledges that "despite the technical, geographic and legal
    complexities" of the east-west route, its backers and participants
    "have been able to achieve [some] definite successes," including the
    development of a network of logistical centers, the training of
    support personnel, and the construction of the pipelines themselves.

    But not even all these very real achievements were able to transcend
    geography or bring stability to Georgia, the Moscow analyst continues,
    and that reality, one that many supporters of the east-west route
    typically have been unwilling to acknowledge, was brought home to them
    as a most unpleasant "surprise" by the five-day way between Moscow and
    Tbilisi.

    Not only did the conflict force several exporting countries to suspend
    shipments during the war, but earlier this month, Azerbaijani
    officials announced that they were putting off until March the
    construction of their part of the railroad that was to supplement the
    work of the pipelines.

    Baku blamed "complex weather conditions in winter and the need to
    conduct additional geological studies of the route," but Shustov
    suggests that its decision reflected a growing awareness in the
    Azerbaijan capital that no transit route across Georgia is going to be
    entirely secure for the foreseeable future.

    Meanwhile, the Moscow analyst argues, plans to establish a North-South
    transportation corridor "received a new impulse" after the war. This
    corridor has a long history. In September 2000, Russia, India and Iran
    signed an agreement to promote it, an agreement later acceded to by
    Azerbaijan, Armenia, Belarus, Kazakhstan, Oman and Syria.

    The agreement calls for the development of three major north-south
    routes that would link Russia with Iran, Shustov notes: via the
    Caspian Sea, via a railroad through Azerbaijan, and via pipelines from
    Kazakhstan and Turkmenistan.

    The chief economic attraction of this corridor is that it is only half
    as long as the traditional sea route via the Suez Canal between the
    producing and exporting countries of the Caspian Basin and the Persian
    Gulf, on the one hand, and the importing and consuming countries of
    Western Europe, on the other.

    But its political attractions not only to Moscow but also to Tehran
    and Yerevan are almost certainly an even greater selling point. For
    Moscow, it would mean that much of the Caspian Basin oil and gas would
    flow across its territory and at the very least would not flow through
    pipelines sponsored by the United States.

    That would enhance Moscow's influence not only in the countries
    directly benefiting from exports and transit of oil and gas via this
    route but also in other countries, such as Azerbaijan, which would
    likely conclude that coming to terms with Russian preferences is a
    better strategy than waiting for the West to back them up.

    For Tehran, it would help it project power into the region and
    represent a serious end run around American efforts to isolate it
    economically and politically. And for Yerevan, it would represent not
    only a major source of income from transit fees but reduce pressure on
    Armenia to settle the Karabakh dispute on terms it does not find
    acceptable.

    Armenia, Shustov continues, hoped to benefit from a rail line crossing
    its territory from Russia to Iran. But because such a route would pass
    through and thus require approval from Georgia and Abkhazia, it is
    probably "impossible," at least at present. But the north-south
    corridor would give Armenia another route out ` via Iran to the
    Persian Gulf.

    The Russian invasion of Georgia did not end interest in the east-west
    corridor, but the conflict made the problems of this route more
    obvious. And consequently, while this outcome may not have been a
    Russian war aim, it is, as Shustov's article makes clear, very much
    one that the Russian government is pleased with.

    http://georgiandaily.com/index.php?option=com_con tent&task=view&id=9532&Itemid=132
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