Admir Šahmanović: Montenegro plans to work on gas pipeline from Caspian Sea to Albania – INTERVIEW

Montenegro has great potential for developing energy cooperation with Azerbaijan. The country plans to work on a gas pipeline extending from the Caspian region to Albania and is confident that Azerbaijan's role in ensuring energy stability in the Balkans and in Europe as a whole is very significant.

In an interview with Report, Montenegro's Minister of Energy and Mining, Admir Šahmanović, spoke about the prospects of energy cooperation with Azerbaijan, regional energy security, the green energy transition, and the process of integration into the European energy market.

He also provided detailed information about his country's renewable energy projects and investment opportunities with Azerbaijan, as well as major infrastructure projects planned for the upcoming period.

Report presents the interview.

- Which area does Montenegro consider the most promising direction for energy cooperation with Azerbaijan?

- We are currently planning to work on a gas pipeline extending from the Caspian region to Albania. We are interested in extending this gas pipeline toward Bosnia and Herzegovina, as well as Croatia. Our government also has a plan to implement a new project along the main road. We simply want to lay a pipeline along the transport corridor and advance it together with this potential project. Through this project, we aim to strengthen the European Union's energy corridor while also creating additional opportunities for Azerbaijan to export more energy to the European Union.

- How important is the expansion of Azerbaijani gas transportation to the Balkan region for Montenegro?

- I think Azerbaijan's role in ensuring energy stability in the Balkans and in Europe as a whole is very significant. Gas is very important for both the Balkans and the European Union in terms of base energy supply. Overall, I believe there is great potential for the development of cooperation; we just need to carry out construction and infrastructure development work as soon as possible. Because energy demand increases every year. We are currently developing data centers and artificial intelligence technologies. This demand will continue to grow, and we must be ready for such rapid development.

- Do you think Azerbaijani companies can participate in Montenegro's green energy sector?

- Azerbaijani investments are very welcome for us. Azerbaijan has a major investment in Montenegro called Portonovi, and we would like to see Azerbaijani investors represented more broadly in our country. As for investments in other sectors, almost 100% of all laws in our country have been harmonized with European Union legislation. Therefore, everything that is in force in the EU is equally valid in Montenegro, and we are open to investment within the framework of the laws.

- What joint projects does Montenegro consider a priority for regional energy security?

- We have embarked on a major investment cycle in our energy sector, and this primarily covers the renewable energy field. We are developing solar and wind parks, while also working in parallel on hydroelectric power plants.

In addition, we are implementing a very ambitious project related to the construction of a liquefied natural gas (LNG) terminal and a 500-megawatt gas station. These are our main priorities for the upcoming period. At the same time, we are developing all these projects in conjunction with each other through investments in energy storage systems (batteries) and transmission networks.

- What is the main challenge for Montenegro in the energy transition process of Western Balkan countries?

- The main challenge is finding alternatives for energy sources while simultaneously creating new jobs to replace sectors that will be phased out. One of our cities has a thermal power plant and a coal mine, and when these facilities are closed, people will lose their jobs and the economy of that city will essentially collapse. Therefore, we must not only focus on the energy transition but also create new green jobs and provide alternatives for people working in this sector.

- What stage is Montenegro currently at in the process of integration into the European energy market?

- We have adopted all the necessary laws and are currently at the verification-approval stage. That is, we have begun the process of market coupling. We hope that within the next year and a half, Montenegro will become part of the European energy market.

- Finally, are you planning to participate in the Baku Energy Week to be held in Azerbaijan next month? Is the signing of any new project or agreement expected there within the framework of cooperation with Azerbaijan?

- In fact, there is a finalized memorandum of understanding between the two countries, and I would be happy to sign it with my Azerbaijani counterpart. I am not sure about my participation in the Energy Week, but I definitely plan to visit Baku.