Energy policy of the EU and the role of Turkey in energy supply security

• Author: Mehter Aykin S., Tache I., Karaman A.B.
• Pages: 287-302

Bulletin of the Transil vania University

Series V: Economic Sciences • Vol. 10(58) No. 2 – 2017

Energy policy of the EU and the role of Turkey in

Energy Supply Security

Sibel MEHTER AYKIN1, Ileana TACHE2,

Ahmet Başar KARAMAN3

Abstract: All the nations define strategies and develop policies on national and

international levels to eliminate risks against energy security. The aim of this paper is to

define the energy policy of the European Union and identify the potential of Turkey in

securing energy supply to the European Union. To achieve this end, after explaining the

policy frame of the European Union and that of Turkey in energy related matters, the

existing and planned energy routes expanding from the Russian Federation, Caspian Sea

and the Middle East to the European Continent are mapped, and the role assigned to Turkey

as an energy hub is exemplified with reference to its accession process. It is concluded that

Turkey’s membership is to enrich the European Union and contribute to its energy supply

security.

Kew-words: Energy Policy, Energy Supply Security, the European Union, Turkey

1.Introduction

Driven by a rise in population and economic growth, energy consumption is

expected to increase by 34% between 2014-2035, emerging countries taking the

leading position in energy demand (BP, 2016). In meeting the energy demand, fossil

fuels seem to remain the dominant source powering the global economy and

accounting for almost 80% of the total energy supply in 2035 (BP, 2016). As the

World is embarking on a transition to a lower-carbon energy system as defined by

1 Akdeniz University, Faculty of Economics and Admini strative Sciences, Department of Economics

Jean Monnet European Module and Permanent Course Holder

sibelaykin@akdeniz.edu.tr *corresponding author

2 Transilvania University of Brasov, Faculty of Economics and Business Administration, Department

of Marketing, Tourism-Services and International Business, Ad Personam Jean Monnet Chair

ileanatache@unitbv.ro

3 Akdeniz University, Institute o f Social Scienes, Department of Economics

karamanahmetbasar@gmail.com

Bulletin of the Transilvania University of Braşov - Vol. 10 (59), No. 2 - 2017 • Series V

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Paris Agreement, renewable energy options gain prominence in alternative energy

supply scenarios.

Whatever the option is, all the countries seek ways for securing the supply of

energy. Defined by the European Commission (2000: 2) as “… the uninterrupted

physical availability of energy products on the market, at a price which is affordable

for all consumers (private and industrial), while respecting environmental concerns

and looking towards sustainable development”, energy security is of utmost

importance for any country or group of countries having goals to the future. All the

nations define strategies and develop policies on national and international levels to

eliminate risks against energy security. These risks may arise in the forms of

physical, economic, political, regulatory, social and environmental risks reminding

of threats like human intervention, equipment failure and extreme weather

conditions (Kocaslan, 2014, p. 735; Labandeira ve Manzano, 2012, p. 8; European

Commission, 2000, pp. 76-77).

In this context, the aim of this paper is to define the energy policy of the

European Union (EU) and to identify the potential of Turkey in securing energy

supply to the EU. To achieve this end, after explaining the policy frame of the EU

and that of Turkey in energy related matters, the existing and planned energy routes

expanding from the Russian Federation, Caspian Sea and the Middle East to the

European Continent are drafted, and the role assigned to Turkey as an energy hub is

exemplified with reference to its accession process.

2. Energy policy of the EU: Examining the achievements, shortcomings

and ways forward of the European Energy Union

2.1. An overview

Article 4(2)t of the Treaty on the Functioning of the European Union -signed at

Lisbon in 2007 (the Lisbon Treaty)- conferred competence to the EU which shall be

shared by the Member States in the energy domain. The broad policy on energy is

defined by article 194 of the Lisbon Treaty, yet referred to in many other articles

defining interconnected policy areas such as economic policy (especially in article

122), trans-European Networks (articles 170-172), and in protocols (i.e. Protocol No

31 concerning imports into the EU of petroleum products refined in the Netherlands

Antilles) and declarations (Declaration on article 194 of the Treaty on the

Functioning of the EU) annexed.

Article 194(1) of the Lisbon Treaty stipulates that (European Union, 2010);