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Main topics in the Turkmenistan-EU dialogue - in the interview of European Commissioner Sikela for ORIENT

12.03.2025 | 15:00 |
 Main topics in the Turkmenistan-EU dialogue - in the interview of European Commissioner Sikela for ORIENT

European Commissioner for International Partnerships Jozef Sikela visited Turkmenistan on March 12 as part of his Central Asian tour. In the context of the increasing geopolitical importance of Central Asia, the visit of the European Commissioner underlines the importance of regional partnership for the European Union and the special role of Turkmenistan in this dialogue.

In an exclusive interview with ORIENT Editor-in-Chief Bekdurdy AMANSARYEV, the European Commissioner spoke about the goals of the visit, the priorities of the partnership and the vision for further cooperation between Turkmenistan and the EU.

-Commissioner Sikela, your visit comes at an important moment for relations between Turkmenistan and the European Union. How would you describe the main purpose of this visit, and what key results do you hope to achieve in strengthening the EU-Turkmenistan partnership?

-My visit is about strengthening our engagement with Turkmenistan, particularly in areas where our cooperation can deliver tangible benefits for the society of Turkmenistan, but also Europe. It means economic modernization, enhanced transport connectivity, and the green transition. Under our Global Gateway Strategy, we are advancing new opportunities for Turkmenistan to integrate into regional and global trade networks, modernize its infrastructure, and attract investment.

I see a great opportunity in unlocking the potential of the Trans-Caspian Transport Corridor (TCTC), making Turkmenbashi a key transit hub between Europe and Asia. This corridor will cut trade times to Europe to around 15 days, providing new jobs and investment opportunities in logistics, transport, and trade.

Additionally, we are deepening cooperation in renewable energy, energy efficiency, and methane emissions reduction, areas that align with Turkmenistan’s economic priorities and the EU’s commitment to sustainable, long-term development. Lastly, we continue to support Turkmenistan’s WTO accession, which will help create a more predictable, transparent business environment, benefiting both European and Turkmen companies.

-What is Turkmenistan’s place in the EU’s strategy for Central Asia, and what role do you see for Turkmenistan in implementing the Global Gateway initiative in the region?

-Turkmenistan has a strategic role in the EU’s engagement with Central Asia. It can serve as a transit hub for regional trade and a potential player in critical raw materials and renewable energy. The Trans-Caspian Transport Corridor, which begins at the port of Turkmenbashi, positions the country as a key link in diversifying Europe's trade routes and reducing dependence on other transit routes.

Beyond transport, we also see significant potential in energy cooperation. The EU is engaging with Turkmenistan on critical raw materials, as well as renewable energy investments and methane emissions reduction initiatives. These are areas where Turkmenistan’s natural resources and the EU’s investment capacity and technology expertise can create a mutually beneficial partnership.

At the same time, the EU is committed to a long-term, high-standard investment approach, ensuring that our engagement in Turkmenistan is sustainable and aligned with economic reforms and market modernization.

-One of the key topics on the agenda is supporting Turkmenistan’s accession to the WTO. What specific assistance and technical support is the European Union ready to provide? What are the priority steps Turkmenistan should take to complete the accession process?

-We strongly support Turkmenistan’s WTO accession, as it will open new opportunities for trade and investment. Right now, businesses face challenges in market access, currency exchange, and trade transparency. Accession would provide a clear, rules-based framework that makes the country more attractive to investors.

We are already assisting Turkmenistan through a EUR 6 million program with the International Trade Centre (ITC), focused on regulatory alignment and trade facilitation. A key step for Turkmenistan now is to finalize and submit its Memorandum on the Foreign Trade Regime, which is essential for moving forward in the accession process.

Beyond technical support, we are also working on capacity-building programs, helping Turkmenistan align trade policies, customs procedures, and foreign exchange regulations with WTO standards. This will not only benefit the country's long-term economic outlook but also make it easier for European and Turkmen businesses to work together.

-Cooperation in renewable energy is another priority. What specific projects or programs does the EU plan to implement in Turkmenistan? Which energy sources have the greatest potential?

-Turkmenistan has huge potential for solar and wind energy, given its vast open spaces and sunny climate. Right now, our focus is on supporting feasibility studies, pilot projects, and policy reforms that can help kickstart investment in renewables.

The EU is working with GIZ, Germany’s international development agency, on a EUR 4.5 million initiative to improve energy efficiency, promote clean energy, and support methane emissions reduction. We are also looking at opportunities for solar and wind energy projects, including potential investments in energy storage solutions.

At the same time, we are exploring ways to integrate renewable energy into existing infrastructure, such as the Turkmenbashi port. If we can develop sustainable energy solutions there - like solar and wind installations for powering logistics operations - Turkmenistan could lead the way in creating a green transport corridor for the region.

-Reducing methane emissions is a global priority. How does the EU see Turkmenistan’s role in the Global Methane Pledge, and what support can the EU provide?

-Methane is a major contributor to climate change, and tackling emissions is a shared priority for the EU and Turkmenistan. The fact that Turkmenistan has joined the Global Methane Pledge is an important step, but as with any commitment, implementation is key.

The EU is already providing technical assistance to help monitor, report, and reduce methane emissions We are working on best practices, technology transfer, and regulatory frameworks that can help make a real impact.

One of the areas we’re particularly focused on is the oil and gas sector, where methane leaks are a major challenge (editor's note: ORIENT previously wrote about Turkmenistan's strengthening of international cooperation to reduce methane emissions). If Turkmenistan can adopt more efficient monitoring technologies and invest in leak prevention, it would not only reduce emissions but also increase energy efficiency and economic returns. The EU is ready to support this transition with expertise, funding for pilot projects, and knowledge-sharing with European energy companies.

-What measures should be taken to enhance the effectiveness of the Trans-Caspian Transport Corridor, and do you see opportunities for EU investment in Turkmenistan’s infrastructure?

-The Trans-Caspian Transport Corridor is a game-changer for trade as it could significantly increase trade volumes and reduce transit times to around 15 days. But to make it work at full capacity, it is necessary to address some practical challenges.

The port of Turkmenbashi has great potential, so it makes sense to simplify customs procedures, improve digital tracking systems and modernize rail links to fully utilize the port's capabilities. EU companies are ready to assist in this direction.

The EU is already investing in feasibility studies and technical assistance to improve transport connectivity, and we see strong interest from European businesses in infrastructure development, digitalization of trade processes, and logistics investments.

One example is the Regional Transport Programme, which we recently approved. This could fund key upgrades like modernizing cargo-handling facilities or introducing smarter port logistics software. With the right reforms, Turkmenistan could attract private investment and become a key transit hub for Europe-Asia trade.

-What are the main barriers to trade between Turkmenistan and the EU, and how can they be overcome?

-Trade between the EU and Turkmenistan has significant untapped potential, but there are several obstacles that need to be addressed to unlock new opportunities.

The EU is already working with Turkmenistan on trade facilitation, investment climate improvements, and regulatory reforms, particularly in the context of WTO accession. Bringing trade policies in line with international standards would make the country more competitive, attract foreign investment, and expand its economic opportunities.

-Do you see opportunities to expand the range of goods traded between Turkmenistan and the EU beyond traditional exports?

-Yes, absolutely. While energy exports currently dominate trade, there is huge potential to diversify into new sectors. For example, textiles—Turkmenistan has a strong cotton and textile industry, and European buyers are increasingly looking for sustainable sourcing options. There’s an opportunity to expand this trade with the right quality and certification standards.

Another promising area is agriculture. If Turkmenistan modernizes food processing and meets EU safety standards, there’s room to increase exports of agricultural products. And of course, with the country’s growing interest in renewable energy, there is also potential for trade in clean energy technologies.

By focusing on these areas, Turkmenistan could broaden its trade portfolio, attract new investments, and create high-value jobs in industries beyond fossil fuels.

-How does the EU assess the prospects for an energy partnership with Turkmenistan, including in the gas sector?

-While we are committed to transitioning towards clean energy, we recognize that natural gas will still play a role in the transition period. However, our key focus is on making energy production more sustainable and efficient. That’s why we are working with Turkmenistan on methane emissions reduction—since curbing methane leaks not only benefits the environment but also improves the efficiency of gas operations.

We are also supporting energy efficiency improvements, helping to modernize existing infrastructure and reduce energy waste. In the longer term, our focus is on renewable energy development—solar and wind power have huge potential in Turkmenistan, and we are keen to explore investment opportunities in these areas.

Ultimately, we see energy cooperation evolving beyond gas towards a cleaner, more sustainable energy mix, ensuring long-term economic resilience and modernization for Turkmenistan while aligning with global climate commitments.

-In which specific areas of technology, including smart urban solutions, does the European Union see opportunities for strengthening cooperation with Turkmenistan and technology transfer?

-We see several opportunities for technological cooperation, particularly in energy efficiency, renewable energy production, and environmental monitoring systems.

For example, modernizing Turkmenistan’s energy infrastructure with smart grids and digital monitoring could improve efficiency and sustainability. There’s also potential in climate resilience technologies, helping the country adapt to environmental challenges.

-How can the European Union contribute to regional cooperation in water resource management and sustainable water use in Central Asia, including Turkmenistan?

-Water management is a major issue for Central Asia, and the EU is already working on regional solutions through the Team Europe Initiative on Water, Energy, and Climate Change.

We support integrated water resource management, climate adaptation strategies, and cross-border cooperation. These efforts help ensure that water resources are used more efficiently and sustainably across the region.

-What innovative approaches and technologies in the field of water management developed in the EU could be applied in the conditions of Turkmenistan and Central Asia?

-We are already collaborating with Turkmenistan and Central Asian partners on two key programs that focus on water management, energy, and climate change.

The Central Asia Water and Energy Programme, launched in December 2024, is a major initiative aimed at promoting regional cooperation in water and energy management. With an EU contribution of EUR 8 million, this program focuses on: Improving data and evidence for better water-energy management, facilitating regional dialogue on water and energy cooperation, strengthening institutions to support integrated decision-making.

We are particularly interested to strengthen regional institutions such as the International Fund for the Saving of the Aral Sea –IFAS. Without strong regional institutions, cooperation will be difficult.

Additionally, the EU4SustainableCentralAsia program (EUR 7 million) is supporting stronger regional governance on water and sustainable development, helping countries better manage shared water resources.

-What specific initiatives in the field of education and culture does the European Union plan to develop in Turkmenistan?

-Turkmenistan is already part of several EU-supported education initiatives, including the Dialogue and Action for Resourceful Youth in Central Asia (DARYA) program, which focuses on vocational education and skills development.

Turkmenistan is also eligible to participate in Horizon Europe, the EU’s flagship program for scientific and research cooperation. We encourage the country to take full advantage of this opportunity.

And of course, Erasmus+ remains a key education program, offering Turkmen students and professionals the chance to study, train, and exchange expertise in Europe.

-What joint projects in the field of culture and tourism could promote the popularization of Turkmen culture in the EU?

-Cultural cooperation depends on the priorities and initiatives of local stakeholders. The EU is open to exploring opportunities to promote Turkmen culture in Europe, whether through educational exchanges, artistic collaborations, or tourism initiatives.

We welcome ideas and proposals from Turkmen partners who are interested in expanding cultural engagement between Europe and Turkmenistan.

Photo: orient.tm

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