BAKU, Azerbaijan, June 24. Future green energy
corridors will be built not only by governments, engineers and
investors, but through effective risk management, said Dmytro
Gamankov, Senior Underwriter for Central and Eastern Europe and
international markets at reinsurance company VIG Re, at the
Azerbaijan International Insurance Forum in Baku, Trend’s correspondent
reports from the event.
He noted that insurance and reinsurance companies will not be
mere bystanders in the development of green energy projects.
"They will determine how risks are identified, structured,
assessed and transferred, making such projects investable and
bankable. Energy corridor projects represent a far more complex
system than simply renewable energy assets and transmission
infrastructure. Underwriters view such projects through the lens of
interdependencies, asset concentration, cross-border regulation and
multinational contractual chains. Corridors must not be assessed in
fragments. They need to be treated as a single system," he
said.
Gamankov pointed out that the central element of modern energy
integration projects is not generating capacity, but
interconnecting cable systems.
"The cable is the critical link where the main technical risks,
construction complexity and potential for major losses are
concentrated. If this element is knocked out, the consequences can
extend well beyond technical issues — leading to project launch
delays, operational disruptions and a breakdown of trust among
project participants," he said.
He stressed that cable infrastructure must be treated as a
strategic asset and should be the primary focus of
underwriters.
Gamankov outlined that the insurance aspects of projects in the
Black Sea and Caspian Sea involve two main phases — construction
and operation.
He noted that the construction phase begins long before a
facility becomes operational and covers surveys, equipment
transportation, cargo storage, cable laying and jointing, testing
and the coordination of a large number of contractors.
"Major losses can stem from adverse weather conditions,
engineering errors, technical defects, supply chain disruptions or
misalignment between onshore and offshore work schedules. In
projects of this scale, there are virtually no minor losses.
Project complexity amplifies the scale of consequences, large
distances extend repair timelines, and the interdependence of
participants magnifies the financial impact of any incident,"
Gamankov said.
