ADDRESS of Emil Constantinescu, President of Romania to the International
Conference, "Caspian Energy to Europe"
September 27, 1998
Dear Guests, Distinguished Participiants,
First of all, let me address my warm greetings to all participants and express great satisfaction and full confidence in the high quality and efficiency of this conference which is focused on an ample project for the coming millenium. I am confident that the strategy we are now promoting with a view to providing new energy sources in Europe for the third millenium is a firm, pragmatically oriented project, with promising perspectives.
The Caspian Sea resources are an energy asset liable to be turned into good account to the mutual benefit of states in a vast geographic area. All those involved in this project have the wish and will to show that the way from words to facts can be easily and beneficially pursued. The recent top-level bilateral and trilateral talks related to the TRACECA project as well as the recent Conference in Baku have confirmed the importance of this wish to come true.
The need for building up a Southern corridor for energy transportation between Central Asia and Europe is unanimously acknowledged. I will insist, in this sense, on the fact that the aim of this project is
to create some complementary, not competing routes.
The performing capitalization of this huge resource of crude oil and gas requires opening up of certain secure transport routes, given the fact that The Caspian Sea is a natural "closed" type of sea.
It is not accidental that we wished to make special reference to the importance of preserving secure energy transport routes. The existence in the area of some potential conflict zones that may perturb or even compromise a normal development of this project is a fact that cannot be ignored at all. To this end, we proposed that the heads of states in the region should conclude an international accord regarding the security of oil and gas transports, following the already existing airway model. We consider such an agreement to be of utmost importance lest occasional regional conflicts should affect or even block the continuous flow of energy.
Ladies and Gentlemen,
The Romanian offer to open and consolidate an Est-West transport route for the resources originating in the Caspian Sea consists of using the port of Constantza as a drawbridge to the European zone. The hydrocarbons which are due to be shipped here through the Black Sea can further be transported through special pipes or through other means, given the already existing complex rail and road transport network to Central and Western Europe.
This route is more advantageous than other potential ways. The series of advantages are related to geographic, political and economic factors, specific to Romania and I am going to briefly present them to you in what follows.
Let me start with the geographic arguments, as in such a project, they are unquestionably predominant. As you may have noticed in the pamphlets you have just received, Romania lies just at the heart of Europe, 2,500 Km far from any of the Western, Northern, Eastern or Southern extremities of the continent.
Of equal evidence is that, in this context, the energy route from the Caspian Sea to Central Europe that we propose here is the shortest way, and moreover, it is a smooth way, with no relief problems.
Practically speaking, the main European transport corridors will be crossing Romania and we must also envisage the ever more feasible idea of resetting the famous "silk way" which through its potential communication capacity on the continent spanning the Pacific and Atlantic Oceans may regain its traditional importance as well as the attributes of modern age.
Politically speaking, Romania has always been a solid pillar of regional stability. This argument might seem inappropriate in a rather technical talk such as this one. But I think it necessary to recall a well-known statement - quite popular among oil people, which reads: "pipelines crisscross stable areas and wherever oil and gas pipes may pass, they will always bring about stability". From this point of view, Romania is a privileged zone, under the present circumstances, where this country has proved to be developing a functional and stable democracy, with reasonable and predictable foreign policy.
Romania's domestic policy, her political diplomatic relations with the neigbouring countries, as well as the creation of a legal system matching the European standards are all unquestionable elements conducive to the acknowledgment of Romania's present status.
On the other hand, we think we can extend this context to the economic dimension. Romania is a full member state or an associate member of the prestigious Eastern and Western European economic organisations: the European Union, CEFTA, CEMN, The Danube Commission.
The Romanian energy system consists of a vast transport and distribution infrastructure. Constantza is the biggest and busiest Black Sea port, having an extensive operating output both in the oil domain and in other trades. Through the Danube-Black Sea Canal the port of Constantza has free access to the TransEuropean Danube-Main-Rhine- navigable channel.
The Romanian government is implementing an ample development program for free network-zones at the Black Sea, including the port of Constantza and all along the Danube river.
Moreover, in this country there are piping systems making up a most complex network for the Romanian and imported oil products; there are several refineries, petrochemical units, to say nothing of a domestic market of petrochemical products.
We should not overlook one more argument, related to the Romanian good traditions in this field. Such traditions are linked to all those elements of oil and gas industry. We have over 100 years'experience in designing, exploring, and exploiting oil; we have a several decade-experience in oil and gas product processing, therefore, we have the necessary know-how that could be transferred.
All these are prerequisites that I consider convincing enough for promoting a more intense collaboration with all foreign partners concerned about carrying out these projects. A partnership relation may be materialized through mid- and long-term investments, through setting up joint enterprises together with Romanian companies, through implementing new joint projects, and last but not least, through full use of all facilities that Romania can provide at the present moment.
Dear participants,
Romania does not view the Caspian Sea zone as a terminal, but as a communication bridge. By means of the new "silk way", TRACECA, Romania may meet the big continental ways leading to the Pacific, the Indian, and The Atlantic Oceans.
Thus we will have the chance to open up a newly performing communication perspective, for peace and prosperity. I am fully convinced that the will and common efforts will pave the way for these generous projects to mark the beginning of a new era for the welfare of modern mankind in the near future.
I wish you full success and rest assured that the Government of Romania as well as the Presidency will constantly support the fulfilment of these lofty ideals.
Thank you and come back to Romania not only as oil specialists, but also as friends of us all here.
-- Gregory P. Nowell Associate Professor Department of Political Science, Milne 100 State University of New York 135 Western Ave. Albany, New York 12222
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