EMEC: A New Initiative for Natural Gas Promotion in the East Med
The collapse, even if temporarily, of the Israel-Egypt gas relationship, came at the right moment for Mehmet Öğütçü, a former Turkish Diplomat and the current Chairman of The Bosphorus Energy Club.
Earlier today, under the title “Managing Risks and Grasping Opportunities in the New World of Energy: How?,” hosted by the Bosphorus Energy Club, in Istanbul, Turkey, Mr. Öğütçü presented a new initiative aimed at improving natural gas opportunities in the unstable geopolitical environment of the East Med under the title "East Mediterranean Energy Community," EMEC for short.
In a paper submitted to the conference attendees, Mr. Öğütçü proposes, amongst other ideas, that the new body will present a mechanism for "integration and partnership, dispute settlement, data sharing, analysis and engagement with key stakeholders in a dynamic and informal setting, freed from political animosities and tensions."
The proposed EMEC organization will deal with highly pertinent subjects such as gas export, energy diplomacy, and energy investment.
In order to work around the well documented, less-than-ideal governmental atmosphere, Mr. Öğütçü proposes to create an informal body that will include influential figures from business, finance, media and former generals from the various countries in the region, that will take part in the initiative (Egypt, Greece, Israel, Jordan, Lebanon, Turkey and Turkish and Greek Cypriots).
Despite its informal status, Mr. Öğütçü proposes a six person secretariat staff for the new organization, a small office and a budget. The full scope is not defined in the paper.
Mr. Öğütçü argues that the new body is required because of the large-scale natural gas discoveries in the East Med that have the potential to become "wealth creation and peace for the resource holders and beyond," but so far that has not happened. The new body, supposedly, will be able to unlock that potential.
In the paper Mr. Öğütçü estimates that the region needs to attract several billions of dollars in investment and that will be easier to achieve if political risks are lowered.
The EMEC work will have to prepare the ground for politicians and decision makers in order to fully understand the scope, the potential and the opportunities the huge East-Med gas discoveries present them. "Though we do not have many precedents in this area, energy development can still be made an instrument for peace," writes Mr. Öğütçü.
In conclusion, Mr. Öğütçü said that he already discussed the ideas with "major governments and businesses in the region as well as in Brussels and Washington DC. Time seems to be ripe for launching the EMEC at the earliest and unlocking the great potential for regional energy development that can also hopefully ease some protracted political disputes."
Ya'acov Zalel