Turkey’s grand gas hub plan, part 2: The Russia question

November 14, 2024/in /by Rudolf Huber

Turkey does not want a gas hub. A gas hub is a place where gas is not only traded but where also complex services are being performed. A hub is a place where buyers and sellers meet in a regulated and predictable manner and act on price developments. A true trading point is a sophisticated institution that needs a matching infrastructure in terms of pipelines, storage, entry and exit points plus overcapacity and freedom to find prices. Turkey wants to grab cheap Russian gas, slap a steep fee on it, and resell it in bulk. They want to print money, but they don’t want the work, the risk, the free market thing. At least that’s what I get from this.

The EU may be officially phasing out Russian gas, but in reality there remains potential for Turkey to help Moscow repackage its molecules for westward transit

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