Russia to give Turkey gas discount of 10.25%

Turkish Energy Minister Taner Yildiz said today that his ministry has reached a deal with Gazprom, granting Turkey a gas discount of 10.25%, Turkey purchased 27.4 billion cubic meters of gas from Gazprom in 2014 using the Blue Stream Pipeline running under the Black Sea and the Trans-Baikal Pipeline through Ukraine, RIA Novosti reports.

Sberbank CIB analyst Valery Nesterov told Vestnik Kavkaza that the discount was essential for stimulation of realization of the Turkish Stream Pipeline.

Thus, Gazprom lowered the gas price from about $330 to $300 per thousand cubic meters. Turkey becomes one of the largest purchasers of gas for Russia, together with Germany and Italy. The discount will benefit Botas, the main gas importer of Turkey. Nesterov noted that Europe, the U.S. and Russia were all struggling for influence in Turkey. Turkey, in his words, pursues its own economic interests.

Politologist Togrul Ismail reminded that the problem had been raised at the meeting of the Russian and Turkish presidents in Ankara in early December. He believes that Russia made a concession for development of cooperation with Turkey. The politologist considers Turkey's readiness to become more dependent on Russian gas as proof that Turkey is eager to make concessions. Ismail said that the discount will have an effect on realization of the Turkish Stream project.