The Bulgarian Commission for Energy and Water Regulation has approved a 15% decrease in wholesale natural gas prices for June 2023. The wholesale price has decreased to 33.6 euros per MWh, excluding VAT and excise duty.
For May, KEVR approved a 21% decrease in the wholesale natural gas price.
The main factor for this is the steady downward trend of stock indices on international gas markets and lower consumption. The price mix for June includes the entire contracted quantity of Azeri natural gas supplied via the Bulgaria-Greece gas interconnection (IGB pipeline) under the existing long-term contract with Azerbaijan.
These volumes cover 70% of consumption for the month and are key to achieving favorable gas prices. Following a tendering process, Bulgargaz has concluded one LNG supply contract for June with a trader from the region. The contract is subject to minimum delivery price requirements and a proposed payment method. The secured quantities cover the commitments of the public supplier for June to the final suppliers and heating companies, as well as the quantities under the bilateral contracts with industrial customers.