site.btaBulgaria Informs EC of Concrete Actions Taken to Avoid Potential Gas Crisis

The European Commission will support Bulgaria in negotiations with natural gas suppliers, said Director General of the Energy Department at the European Commission Ditte Juul Jorgensen during a videoconference call with Bulgarian Deputy Prime Minister for Economic Policies Hristo Alexiev and Minister of Energy Rossen Hristov.

Responding to the questions raised by the Deputy Prime Minister, the Brussels representatives concurred on the need to continue enhanced regional cooperation in the context of the Regional Standing Working Group in South Eastern Europe within the EU Energy Platform to ensure diversification of energy supplies through pipelines and LNG terminals. This includes LNG terminals passing through Greece and Turkey. The two countries agreed to take joint action with international partners to help diversify supplies to Bulgaria. Deputy Prime Minister for Economic Policies Hristo Alexiev briefed his European counterparts on the results of the meeting of government representatives with employers' organisations, trade unions and the National Association of Municipalities. Alexiev added that during the meeting a price of EUR 130 per megawatt/hour was indicated as marginally tolerable for businesses and households to prevent the industry consuming natural gas from being uncompetitive with the one that uses only electricity.

The participants in the meeting also exchanged views on the implementation of Bulgaria's existing contract with Gazprom Export in the context of the EU sanctions regime.

The representatives of the European Commission were briefed on the approach of the caretaker government to secure natural gas supplies in the short and long term. The long-term plan foresees the launch of an international tender for long-term LNG supplies. It is envisaged that the caretaker government will initiate the procedure and that the decision to conclude such a contract will be taken by a regular cabinet. Bulgaria has also confirmed its interest to participate in mechanisms for joint purchasing of energy carriers that could be established within the EU Energy Platform.

During the videoconference, the Deputy Prime Minister clearly stated that the Bulgarian government does not intend to hold talks for a new short, medium or long-term contract with Gazprom Export, but only talks to receive quantities under the existing contract: "We believe that such an action should not be taken by a caretaker government. Only a regular cabinet and parliament can decide on such a new commitment".

The Bulgarian government is making every effort to secure natural gas supplies at a price acceptable to society and businesses, considering all potential sources to achieve an energy mix at the best possible price.

Hristo Alexiev informed the representatives of the European Commission about the actions already taken by the taskforce of the Bulgarian government to overcome a potential energy crisis: the completion of the interconnector between Bulgaria and Greece and its commissioning by 1 October 2022, the stabilization of the financial situation and liquidity of Bulgargaz and the search for economic rather than compensatory mechanisms to achieve a good price of natural gas for businesses and households.