Algeria, EU to Cooperate in the Field of Natural Gas

The EU and Algeria on Tuesday launched a political dialogue on energy matters, the EU said in a press statement.

During a meeting in Algiers, Miguel Arias Cañete, European Commissioner for Climate Action and Energy, and Yousef Yousfi, Minister for Energy and Mines of Algeria, agreed to cooperate on natural gas, renewable energy, energy efficiency, energy market integration and infrastructure development.

The cooperation follows the establishment of a strategic energy partnership in 2013.

"Algeria is a partner of crucial importance to the EU. The launch of an energy dialogue in Algiers today will contribute to a reinforcement of our bilateral cooperation in the new context of energy security," Arias Cañete said.

As per the agreement, two expert group – one on natural gas and the other on electricity, renewables and energy efficiency - will be created. In addition, a business forum will be set-up with the first meeting scheduled for 2016 in Algiers.

Algeria is third biggest supplier of gas to the EU, and the EU is the biggest importer of Algerian gas. However, due to a lack of new investment, gas production in the country is declining and large reserves of gas remain unexploited.

Enhanced political links on energy could boost investments in Algerian gas with the knock-on effect of improving Europe's energy security, the EU said.

Meanwhile, the EU has agreed to share its renewable energy and energy efficiency expertise in support of Algeria’s goal to reach 22 Gigawatts of renewable power by 2030 and a 9% reduction in energy consumption.