Azerbaijan and the Czech Republic have finalized an agreement for 2 billion cubic meters of natural gas annually, expanding Baku's role as a critical alternative to Russian energy supplies for Europe.
The deal, reported by Report.az, will route Azerbaijani gas through the Southern Gas Corridor—a 3,500-kilometer pipeline network connecting the Caspian Sea to European markets via Georgia, Turkey, Greece, and the Balkans. The agreement underscores Europe's accelerating efforts to diversify energy sources following the continent's 2022 break with Russian gas imports.
For Azerbaijan, the Czech contract represents both economic opportunity and geopolitical leverage. The country has positioned itself as an indispensable partner in European energy security, a status that has translated into muted Western criticism of Baku's September 2023 military offensive in Nagorno-Karabakh and its broader human rights record. Energy interdependence has proven a powerful shield against diplomatic pressure.
The Southern Gas Corridor currently delivers approximately 20 billion cubic meters annually to European markets, with capacity projected to expand as demand grows. Azerbaijan has signed similar supply agreements with Italy, Bulgaria, and Greece, and is in advanced negotiations with Germany and other Central European states seeking to replace Russian volumes.
The Czech deal also highlights the asymmetric outcomes of the South Caucasus's recent upheavals. While Armenia pivots toward the European Union in search of new security guarantees after losing Nagorno-Karabakh, Azerbaijan deepens economic integration with Europe from a position of strategic strength, having achieved its primary territorial objective and secured vital energy partnerships.
Baku's energy diplomacy extends beyond Europe. The country has positioned itself as a critical link in potential energy corridors connecting Central Asian gas producers to European markets, a role that could further increase its geopolitical significance as Turkmenistan and Kazakhstan seek routes bypassing both Russia and China.
Yet reliance on hydrocarbon exports also presents vulnerabilities. Azerbaijan's economy remains heavily dependent on oil and gas revenues, and Europe's long-term commitment to renewable energy transition could eventually reduce demand for Azerbaijani supplies. The government has pledged economic diversification, but progress has been limited, and energy wealth continues to concentrate power within the ruling Aliyev family's network.
In the Caucasus, as across mountainous borderlands, ancient identities and modern geopolitics create intricate patterns of conflict and cooperation. Azerbaijan's energy corridor success demonstrates how resource endowments and geographic positioning can translate into strategic autonomy, even for relatively small states navigating between competing great powers. The Czech gas deal is another milestone in Baku's evolution from a landlocked former Soviet republic into a pivotal node in European energy infrastructure.
