Russia prepared to invest billions in energy sector in Croatia – LNG from Krk too expensive for Serbia

If Croatia agrees, Russia might offer billions of euros in this former Yugoslavian republic in the sector of energy, primarily in the construction of a new liquefied natural gas (LNG) terminal on Krk, where an American company was initially supposed to build its facilities.

That this is not the only plan of Russia when it comes to Croatia has been recently confirmed by Ambassador of Russia to Croatia Anvar Azimov, who pointed out that Russian President Vladimir Putin had proposed for Russian companies to renovate power plants in Croatia, whereas Russia would put its funds into the completion of the gasification of Croatia. Enhanced supply with Russian oil and gas, at an affordable price, was also proposed. Russia is still waiting for a response.

Azimov explained that the Krk terminal was important, as the European Union would have to import Russian gas, despite their claim that they want to be energy-independent.

– We don’t want to be a competition for the EU in the construction of an LNG terminal, but the announced amount of EUR 100 million that the EU would provide is not enough, and Russia is capable of providing you with billions – Azimov said.

Asked to comment on potential benefits to Serbia, professor Srecko Djukic, an expert for energy within the Forum for International Relations of the European Movement in Serbia, says that this is not good news for Serbia, just as the news that Americans would supply Croatia with gas was not good, as this energy source is much more expensive that the gas delivered by pipeline.

– Besides, we would need to build or have someone else build 600 kilometers of pipelines from Krk to Srbija, which we would have to pay through the gas price, which would be unbearably high in that case. The route is longer than the one that would connect to the southern gas corridor, from Azerbaijan to Italy, soon to be finished, had we opted for it – Djukjic pointed out for Politika.

liquefied natural gas terminal KRK

liquefied natural gas

Embassy of Croatia to Russia

Anvar Azimov

Russian gas

LNG

Krk terminal

Srecko Djukic

Forum for International Relations of the European Movement in Serbia