The Bulgarian Commission for Energy and Water Regulation (KEVR) has approved a 1% decrease in wholesale natural gas prices for June 2026, aligning with the proposal submitted by public supplier Bulgargaz in mid-May. As a result, the wholesale price has declined to 35.62 euros/MWh, excluding VAT and excise duties. This follows a 5% increase that was approved for May.
The current price level is now more than 10 euros/MWh (around 25%) lower than prices observed on major European gas trading hubs, marking the third consecutive month in which Bulgarian consumers have benefited from significantly cheaper gas compared to broader international markets.
A key driver behind this price stability remains Bulgaria’s long-term supply agreement with Azerbaijan. The full contracted volume of Azeri natural gas delivered via the Greece-Bulgaria interconnector (IGB) has been incorporated into the June pricing structure, helping to keep overall costs contained. In addition, supplementary supply has been secured through liquefied natural gas (LNG) purchases, with Bulgargaz acquiring cargoes via competitive tender processes, further strengthening diversification and supply security.
The approved pricing will apply to Bulgargaz sales to gas distribution companies as well as to licensed industrial consumers and district heating operators. Regulatory analysis indicates that Azerbaijani supplies have played a crucial role in insulating the Bulgarian market from the sharper price increases seen across other parts of Europe in recent months.
However, despite the current favorable conditions, market expectations point to potential upward pressure in the coming months. From July onward, the pricing formula under Bulgaria’s long-term agreement with Azerbaijan is expected to be revised, reflecting higher global oil prices recorded over the previous quarter.
Energy analysts also warn that broader market dynamics could contribute to rising gas costs. European countries are currently increasing storage injections ahead of the winter season, while global competition for LNG cargoes between Europe and Asia remains intense. Combined with ongoing geopolitical risks affecting major energy supply routes, these factors could lead to tighter market conditions and higher prices in the second half of the year.
