Launched on June 12, the Trans-Anatolian Natural Gas Pipeline Project (TANAP) transports natural gas from Azerbaijan through Turkey into Europe and was originally hyped to decrease Turkey and Europe’s dependence on Russian gas and diversify Europe’s supply.
The pipeline is a part of the Southern Gas Corridor which connects Azerbaijan’s huge Shah Deniz II gas field to Europe.
The Southern Gas corridor provides an opportunity for direct supplies of natural gas from Asia or Azerbaijan and Turkmenistan, through Turkey to Europe.
However, with the current situation with slumping energy demand on the back of the coronavirus-related social distancing measures, some analysts find the impact of the pipeline to be quite unappealing for Europe.
According to some analysts, there is already an abundance of natural gas in Europe. Additional supply from Azerbaijan would increase supply and leads to falling prices and gloomier investment prospects for energy in the region.
