When Will Turkmenistan’s Mind-Boggling Energy Profits Trickle-Down To the People?

[SEE:  The Private Pocket of the President (Berdymukhamedov).pdf]

When the gas bubble will burst Berdymukhammedov?










Nurmuradov Niyazmuradov

Do not stay aside and Europe with its trans-Caspian gas pipeline. European officials for the sake of cheap Turkmen gas ready to kiss the sand, which wanders “Arkadag” …

Human rights activists are sounding the alarm that Gurbanguly Berdymukhammedov, has created a mechanism of the sole and uncontrolled access to raw material wealth of the country, as well as conditions to hide income from the export of hydrocarbons from their own people. Concerns about human rights receded into the background because of concerns of the West of its “energy security”.

Hydrocarbons for Berdymukhammedov – is not only a fabulous profits, but also a political tool to flirt with both the West and the East. His Holiness’ Arkadag “enjoys his” gas bubble “at 100 percent, giving promise that will not leave anyone in the grievance.

So, he gave a “good” to increase gas exports to Iran, Pakistan and China. Do not stay aside and Europe with its trans-Caspian gas pipeline. European officials for the sake of cheap Turkmen gas ready to kiss the sand, which wanders “Arkadag.” Swollen by a “rapture” Berdymukhammedov reinforces his belief that importing Turkmen hydrocarbons properly will pay billions of dollars in his piggy bank.

The fact that Turkmenistan is a rich country, even the children know. But, when asking a question about what makes this wealth of the state, almost all the adults say, “If you want to sleep, not interested.” And yet, Turkmenistan occupies fourth place in the world in terms of proven natural gas reserves. The press often there are reports that such and such signed contracts to supply tens of billions of cubic meters of Turkmen gas. But no one knows what expenses are the money received from its sale.

If you read the Law of Turkmenistan “On Hydrocarbon Resources” from 2011, it becomes clear that 80 percent of the income from the sale of hydrocarbons deposited in the State Agency for Management and Use of Hydrocarbon Resources under the President of Turkmenistan, whose work is not inexplicable.

This structure was established in March 2007 and so far there are no documents regulating mechanism of consumption and accumulation of funds accumulated in it.Berdymuhammmedov specifically requested by the laws confer unprecedented authority to the Agency ownership of hydrocarbon resources of the nation, since it is “working” members of his “big family”.

In Turkmenistan, any investor willing to invest their own money in developing the field, must play by the rules of the power elite. It is not easy, as the government can easily cancel any agreement at any time without obligation damages. An investor does not even have chance to legally challenge such a decision, because the absolute power over the oil fields of the Agency secured by the notorious Law.

However, foreign countries are also not used to so easily part with their money and influence. We all know what “double standards” and if necessary they can be applied and the West in relation to Turkmenistan.

If “Arkadag” counting on repression and clumsy state ideology to keep the situation, it is seriously mistaken. Trying to personally manage the public finances, it is fundamentally undermines public confidence and not only (even his teammates) in the power elite. Its rapid decline could be accelerated. Moreover, the experience of “palace coup” at the tops of the power is already available …

Especially for “Gundogar”