The Caspian region is gaining in strategic importance for Europe due to its rich energy sources, and it will become the EU's immediate neighbourhood once Romania and Bulgaria become full-fledged members. Answers to some of the questions about the bloc's future policy towards the region are expected at the Caspian Outlook 2008 conference, which started at Bled on Sunday.
ISS director Borut Grgic and Anita Pipan, the head of the Foreign Ministry's directorate for policy planning and multilateral relations, stressed that the forum is an attempt to present Slovenia's abilities in strategic policy planning. According to Pipan, it is also an introduction to EU presidency, as it combines two of the priorities that Slovenia has set for its stint as EU chair - energy security and enlargement. "The scope of ideas that we get at the forum will help us in a more specific framing of policies towards the region," Pipan said.
The Caspian is increasingly important for the EU's energy security. Russia currently represents almost 25% of EU's gas imports, but it will not be able to satisfy the bloc's growing energy demands. The Caspian is already the fourth biggest source of energy for the EU, and it has plenty of potential.
However, the region is unstable, and the fledging democracies are still weak. For Europe it is therefore crucial that stabilisation and democratic reforms continue, especially in the South Caucasus.
Three key countries in the region - Georgia, Azerbaijan and Armenia - represent a bridge between Europe and the Caspian Basin, and their stability is essential for the construction of any additional oil and gas pipelines to Europe, Grgic pointed out.
If that does not happen, "everything will continue to go through Russia and the EU can stop dreaming about alternative pipelines; it would have to frame its strategic coexistence with Russia on different terms," Grgic pointed out.
The EU should therefore draw these countries into European integration processes, Grgic points out, adding that the bloc's policy towards these countries should become more precise.
Moreover, Grgic pointed out, this region will become the EU's "neighbourhood" once Romania and Bulgaria join the bloc. "This is not only about how to integrate this region, but also how to protect it. We should not forget about rampant organised crime and terrorism," he added.
The way for the EU to protect itself is through the stabilisation, transformation of political systems and economic development of the region, and Slovenia is willing to help with its experience in transition, he stressed.
Pipan said that the Bled forum is designed to determine the best policies towards these countries, while Grgic added that it would also be a test of how the EU will respond to greater political activity in the region.
At four panels on Sunday and Monday, participants discussed the geo-strategic and energy importance of the Caspian Basin, the political dynamics and future of the region, the EU's neighbourhood policy and economic trends and opportunities in the region.
Almost 300 participants are attending, including European External Relations Commissioner Benita Ferrero-Waldner, representatives of OPEC, UNCTAD, NATO, EBRD, as well as managers of energy firms such as Lukoil, British Petroleum, Slovenia's Petrol and tourism, energy and food conglomerate Istrabenz.
Numerous bilateral meetings are scheduled on the sidelines, as well as official visits.
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