ECONOMIC COOPERATION OF THE SOUTH CAUCASUS COUNTRIES - A GUARANTEE OF ENERGY SECURITY

Abstract

South Caucasus countries: Georgia, Azerbaijan and Armenia are three countries located at the crossroads of Europe and Asia, which have an important function of the South Caucasus Corridor, the movement of energy and vital goods between Europe and Asia is carried out. The three countries have greatly increased rapprochement relations in favor of economic and geopolitical interests. Trilateral relations have old roots, which have been particularly strengthened since 1990, when the South Caucasus pipeline was planned and other promising projects emerged. The economic and geopolitical strategy of these countries depends on stable and voluminous flows of energy from Azerbaijan and the Caspian region and has the aspiration to transform the original peripheral states as the main "bridge" of the Euro-Atlantic space to the Caucasus region. In today's world, the search for efficient use of non-conventional, renewable energy has begun to replace the use of exhaustible energy resources. One of the indicators of the geopolitical role and importance of Georgia is the specific share of electricity obtained from renewable energy sources, especially hydropower, to the total volume of generation by its own means. Despite Georgia, Armenia and Azerbaijan's different population size and ownership of energy sources, a mutual comparison of several energy indicators was carried out in the paper. Each country's energy potential, business doing and economic freedom indices, greenhouse gas emission trends are evaluated.