Russia and EU "begin talks" on South Stream

BELGRADE Dusan Bajatovic has said that he expects Russia and European countries participating in the South Stream pipeline project to reach an agreement. It would concern the project's realization "beneficial for both sides," specified the director of Serbia's state-run natural gas company Srbijagas. Russia and EU "begin talks" on South Stream He told reporters at the The Economist: The World in 2014 conference that "global talks between Brussels and Moscow have begun regarding the implementation of the third energy package for the ground section of the South Stream pipeline." Bajatovic said that construction works should begin next year, and added that EUR 500 million worth of investments would be provided for the purpose. According to him, the importance of the South Stream pipeline lies in the reduction of transport risks and improvement of competition in the market. “These will be new quantities of gas and they are much needed since energy consumption in Europe should increase by seven percent annually. These quantities cannot be made up for from alternative energy sources,” he said and added that the cost of alternative energy sources still exceeds that of gas. Bajatovic also stated that "the world economic market is shifting toward the countries with growing economies, primarily in Asia, and this is why Europe has to offer a serious geostrategic economic response to prove its competitiveness." (Beta, file) Tanjug

Russia and EU "begin talks" on South Stream

He told reporters at the The Economist: The World in 2014 conference that "global talks between Brussels and Moscow have begun regarding the implementation of the third energy package for the ground section of the South Stream pipeline."

Bajatović said that construction works should begin next year, and added that EUR 500 million worth of investments would be provided for the purpose.

According to him, the importance of the South Stream pipeline lies in the reduction of transport risks and improvement of competition in the market.

“These will be new quantities of gas and they are much needed since energy consumption in Europe should increase by seven percent annually. These quantities cannot be made up for from alternative energy sources,” he said and added that the cost of alternative energy sources still exceeds that of gas.

Bajatović also stated that "the world economic market is shifting toward the countries with growing economies, primarily in Asia, and this is why Europe has to offer a serious geostrategic economic response to prove its competitiveness."