Robert M. Cutler on Energy and Eurasia

I resume my series on the fall-out from the discovery of vast natural gas resources at the Shah-Deniz deposit, located off the coast of Azerbaijan. That discovery put into question the Trans-Caspian Gas Pipeline (TCGP) from Turkmenistan to Turkey, though this project has recently been re-endorsed by Ashgabat. I will cover the latter development in a future column. For the present, however, I wish to focus on the neglected Turkmenistan-Ukraine-Russia energy triangle and discuss how TCGP politics have contributed to a political battle among elites in Kyiv.

The article examines once more the results of the Shah-Deniz find for the Russia-Turkmenistan-Ukraine triangle. It first dissects the most recent developments in their interactions over energy supplies and policy. It then examines the question of what the Russian contract for an additional 10 billion cubic meters (bcm) means for Turkmenistan, for the Baku-Ceyhan pipeline, for the Shah-Deniz project and for the TCGP itself.

The CIS was originally a sleight-of-hand trick by which the presidents of the RSFSR and Ukrainian and Belorussian union-republics conjured the disappearance of the USSR. It is generally conceded now that Yeltsin's wish for revenge against Gorbachev was a sine qua non of this remarkable, and successful, performance. The creators of the CIS never intended it to be the continuation of the USSR by other means.