Bulgaria: Lower wholesale gas price to be proposed by Bulgargaz

, SEE Energy News

Earlier, Bulgarian Commission for Energy and Water Regulation (KEVR) a 3 % decrease of wholesale natural gas price for December, slightly higher than the initial proposal of Bulgargaz (2.4 % decrease).

Bulgargaz is planning to propose lower wholesale natural gas price to be applied in January and February 2021. The statement from the company said that the price for January 2021 should be around 13.2 euros/MWh, which is 6.4 % lower than the price valid in December – 14.42 euros/MWh. Also, Bulgargaz said that it is planning to propose further price cut for February 2021, reducing the price to around 13.1 euros/MWh.

The price was decreased to around 14.1 euros/MWh, excluding VAT and excise duty. In early March, Bulgargaz and Gazprom Export have finalized an agreement on 40.3 % reduction of the price at which Russia supplies natural gas to Bulgaria, backdated to 5 August 2019. Bulgaria was the last of eight EU Member States of Eastern Europe to strike a deal on a price cut with Gazprom, in the wake of a settlement reached between the European Commission and the Russian monopolist on an anti-trust investigation. The agreement with Gazprom prompted the change in determining regulated wholesale gas prices, which is now set on monthly, rather than quarterly basis.