Bosnia Agrees to Join Trump-Linked Pipeline Project to Diversify Energy Sources

Bosnia Signs Gas Pipeline Deal with Croatia Amid EU Concerns

Bosnia and Herzegovina has signed a deal with neighboring Croatia to construct a gas pipeline, backed by investors connected to US President Donald Trump. The agreement aims to reduce the country’s dependence on Russian gas, which is set to be phased out by the European Union next year.

The Southern Interconnection Agreement, as it is formally known, was signed at a summit in Dubrovnik on Tuesday. Bosnian Prime Minister Borjana Kristo described the deal as a “major step forward” for energy security and diversification of supply. However, the European Union has expressed concerns that the agreement could jeopardize Bosnia’s bid to join the bloc due to lack of transparency around the project.

The pipeline would connect Bosnia to Croatia’s LNG terminal on the island of Krk, allowing US gas to reach a country currently dependent on Russia for its entire supply. The estimated $1.5 billion project also includes the construction of gas-fired power plants aimed at reducing coal-based electricity production.

Bosnia is required to meet EU membership obligations, including in the energy sector. The European Union’s ambassador to Bosnia, Luigi Soreca, has warned that any amendments to energy sector legislation must be submitted for review. Transparency International has also expressed concerns about the deal, stating it sets a “dangerous precedent” and risks undermining the public interest.

The project is backed by US-based AAFS Infrastructure and Energy, which is headed by individuals with ties to Trump. The company was chosen as the investor and developer of the project after Bosnian lawmakers voted in favor earlier this month.

Source: Al Jazeera