Political economy of energy in Eastern Mediterranean
View/
Keywords
Political economy of energy ; Eastern Mediterranean ; Energy policy ; Energy trade ; Energy accessAbstract
The recent energy discoveries in the southeast Mediterranean have proved that they are capable of causing a shift of power away from the regional states, consequently changing the balance of power. The discovery of the hydrocarbons in the exact middle of two sub-regional systems, Europe and the Middle East, along with the perspectives of the new possible energy resources, compose a recently developed political scene for national opportunities. The rise of natural gas as a main energy product in the energy pie has led to a decrease in oil’s geopolitical merit. Energy sources in the Mediterranean could be crucial for the region's geopolitical change of balance. The coastal states are in constant pursuit of benefits from the exportation of natural resources, always bearing in mind not only the need for warranting their energy security but the economic aspects from their right of transporting and selling the energy in other regional
markets, as well. Even though the region has suffered from long and severe conflicts, the discoveries have been prosperous for the creation of a collaborative environment, which in many cases helped the states to strengthen their economic and political bonds. Many interested governments have begun to take precautionary measures, new initiatives for energy projects, and shape new policies. However, exploration cost in the Eastern Mediterranean is extremely high, demanding many years and, as it shows, with very restricted results. Moreover, it is expected that the competition with other energy companies will be hard, regarding the involvement of extra-regional actors. Energy alone cannot serve as a strong motivation for peace after all these years of conflict. The scenario of the deposits being prosperous for the states is something that is being determined by the successful and prudent
exploitation of the energy by the legal beneficiaries and also by the configuration of the supply and demand.