Azerbaijan and Serbia signed documents on natural gas and green energy

During a visit to Belgrade aimed at developing bilateral energy cooperation, a meeting took place between Minister of Energy of the Republic of Azerbaijan and Serbia's Minister of Mining and Energy, Dubravka Djedovic Handanovic. The meeting emphasized the significant role of the friendship between the leaders of Azerbaijan and Serbia in the comprehensive development of the strategic partnership between the two countries. Satisfaction was expressed regarding the supply of Azerbaijani gas to Serbia via the Bulgaria-Serbia Interconnector, and the prospects for expanding energy cooperation in the field of green energy were discussed. In the context of the implementation of the Caspian-Black Sea-European Green Energy Corridor project, the interest in cooperation between Azerbaijan and Serbia for the implementation of infrastructure projects in the field of green energy and trade in electricity was expressed. The sides also discussed the opportunities for gas storage in Serbia and the potential participation of SOCAR in the construction of a gas-fired power plant. It was agreed to create a Working Group on all these issues on the agenda of energy cooperation. There was also an exchange of views on the energy initiatives of the COP29 presidency and participation in the events held within the Energy Day.

Energy Minister Parviz Shahbazov said: "Azerbaijan is pleased to cooperate with Serbia in the framework of the goal of expanding gas supply markets to Europe. Today, the signing of a new gas supply agreement between SOCAR and Srbijagas and a document on cooperation between the two countries in the field of green energy opens a new page strengthening our energy partnership. In the future, plans to increase gas supplies to 1 bcm and the supply of our renewable energy resources will contribute to the diversification of Serbia's energy supply and energy transition.”

Serbian Minister of Mining and Energy Dubravka Djedovic Handanovic said: “Thanks to the documents signed today, our cooperation in the energy sector will further strengthen. Cooperation in the field of green energy is of great importance, and in this direction, together with the experience of Azerbaijani companies, we are building a powerful platform for infrastructure projects that we can implement. Our vision of increasing our green energy potential and diversifying gas supplies, which we have implemented with your support, coincides. Our cooperation in the field of natural gas and green energy will bring stability and energy security to Serbia's energy supply.”

In conclusion, a gas supply purchase agreement was signed between SOCAR and Srbijagas, along with a Memorandum of Understanding on cooperation in the field of green energy between the Ministry of Energy of the Republic of Azerbaijan and the Ministry of Mining and Energy of the Republic of Serbia.

The new gas agreement envisions the supply of an additional 1 million cubic meters of gas per day between 1 November 2024 and 1 April 2025.  The Memorandum of Understanding promotes cooperation in the production and trade of renewable energy and green hydrogen, as well as joint initiatives and projects.  According to the document, the cooperation will focus on mutual investment in the renewable energy sector, the application of new green technologies, carbon capture, utilization, and storage, electromobility, energy storage, and green financing.