ABSTRACT
The chapter explores the political economy of energy in the southern shore of the Mediterranean from two different angles: global and regional drivers of change; and shifting political economy balances in southern Mediterranean countries. The global drivers are the oil price collapse since 2014, the emergence of the US as an unconventional energy power, and the fight against climate change. Three regional drivers are identified: a booming domestic energy demand, the deterioration of regional security, and the inability of southern Mediterranean hydrocarbon producers to project themselves as providers of energy security to a EU willing to diversify away from Russia. The chapter argues that Mediterranean political economy balances are equally changing, and that they are becoming a key factor in analysing Mediterranean energy. The chapter concludes with a reflection on the need to develop a more attractive Euro-Mediterranean narrative to properly manage energy interdependence between energy producers, consumers and transit countries in the region.
