Establishing of Common Energy policy in EU is one of the essential steps towards creating a political union among its members. Without a stable flow of hydrocarbons to the markets of the EU, it is impossible to ensure the safety of the future of a federal European state. This federative state will always be open to threats which may rise from dependency on external energy resources, especially from certain supplier’s states.

Till now, the EU is a major consumer of oil and gas in the Eurasian area. So, with only 6% of the world’s population of 27 States members of the EU consumes 16% of supplied energy. During the year, the EU states consume as much as 19% of total world consumption of oil, 16% of gas, 10% coal and 35% of uranium. Up to 50% of the EU energy is supplied by imports, in which the share of oil is 80% and gas 40%, and those figures continue to rise.

However, the energy comes from a limited number of locations and dependence on those regions quite high. Thus, in 2005 the EU states imported oil from the following sources: 27% from Russia, 19% from the Middle East, 16% Norway, 12% from North Africa to 5% from other sources. With regard to natural gas, 46% of it came from domestic sources, 25% of Russia from 15% Norway, and 14% from North Africa, 6-8% of the supply of LNG from North Africa and the Middle East. According to the specialists’ forecasts, by the year 2020, the imported oil is expected to increase to 90%, and natural gas consumption to 70% in the EU.

One of the main politics of the EU in the field of energy supply is the creation of alternative transport corridors for the delivery of hydrocarbons from alternative sources. EU INOGATE program designed to achieve that goal. The priority region for alternative supplies is the states of the Caspian region.

Already through the Baku-Tbilisi-Ceyhan oil pipeline and Baku-Tbilisi- Erzurum gas pipeline, oil and gas exported to the European markets from this region is expected to increase. Gas through the pipeline will

transported to Turkey and Greece and later to Italy, Spain and Portugal. Subsequently, it is expected that through these pipelines hydrocarbons will be exported from Kazakhstan and Turkmenistan.

Last week, Romania, Serbia, Slovenia, Italy and Croatia, and representatives of the European Commission signed in Zagreb Declaration on the construction of Pan-European pipeline, which will connect the Romanian Black Sea port of Constanta to the Italian city of Trieste on the Adriatic Sea. This pipeline will be built to bypass the Turkish straits and it is scheduled to exports of oil from the Caspian region. Another priority for the EU the project under the INOGATE frame is NABUCCO pipeline through which gas from the Caspian region should come down to the markets of Austria.

Along with the common projects, some states are trying to develop independent energy projects. One of example of that is Northern pipeline from Russia to Germany via Baltic Sea. With this project Russia will be able to deliver gas directly to Germany, bypassing Ukraine and Poland, and Germany will become a main distributor of gas in the European space.

Therefore, Poland has already accused Germany of pursuing a policy of national interests rather to union politics. Poland in turn is actively seeking alternative ways to supply their markets. Most recently, the President of Poland, visited to Kazakhstan and Azerbaijan, discussing possible cooperation with these states in the energy sector.

Another pipeline project Burgas-Aleksandropolus, linking Bulgaria and Greece, and through this pipeline Russian oil will be exported. Other states of the EU is also actively engaged own national energy policies. For instance, Italian Prime Minister Berlusconi attended the official opening of the gas pipeline `Blue Stream` a gas pipeline connected under the Black Sea Russia seaport with Turkish Samsun. In the future Italy expects to receive gas from the pipeline to reduce dependence on supplied through Germany, Russian gas. Active policy in the same direction is also lead by the other states to the EU.

Investigating the energy policies of member states of the EU, the following conclusions may be drawn. Energy security is becoming a major challenge in ensuring national security. At the same time, despite the rapid integration processes within the Union energy policy is still the national priority of the EU members. The union preferred to conduct their own energy policies, as confidence in the matter of its neighbors. Therefore, along with integration process strengthened centrifugal mood of the Union. National policy in the energy sector is further reinforced.

Rovshan Ibrahimov, Editor, USAK Energy Review

rovsen@azerimail.net