The Vertical Gas Corridor, the strategic gas route connecting Greece with Ukraine, has reached a significant commercial milestone after annual capacity auctions for the 2026/2027 gas year attracted bookings for more than 45% of the available capacity across the next four gas years.
The latest auction results represent an important step for the corridor’s development, as they were the first conducted under a revised commercial framework that introduced lower transmission tariffs and additional discounts across selected sections of the route. These changes have improved the competitiveness of gas transportation toward Ukraine, making the corridor the fourth-most cost-effective import route into the Ukrainian market. However, market participants noted that further incentives could still be required to stimulate additional demand and secure wider long-term commitments.
According to Greek gas transmission system operator DESFA, the auction outcome supports Greece’s ambition to become a regional natural gas hub and expand its role in supplying energy markets across Southeast and Eastern Europe. The strongest demand was recorded at the Sidirokastro interconnection point on the Greece-Bulgaria border, which has become a key gateway for northbound gas flows.
Approximately 46% of the available export capacity for the 2026/2027–2029/2030 gas years was booked at Sidirokastro, while around 26% of capacity was reserved for the 2030/2031 gas year. Market participants also secured long-term transport rights extending into future periods, with reservations reaching as far as the 2040/2041 gas year, highlighting expectations of sustained demand for the corridor.
Several major Greek energy companies participated in the capacity allocations. Atlantic SEE LNG Trade, a joint venture between Aktor Group and DEPA Trade, secured around 13,000 MWh per day, equivalent to approximately 4.7 TWh annually. Metlen booked an additional 20,000 MWh per day of capacity. The total export capacity offered at Sidirokastro reached 100 GWh per day, with auction demand broadly matching market expectations.
The strong booking activity reflects the growing interest of Greek energy companies in using LNG supplies from Greece to serve markets in Southeast Europe, Eastern Europe and Ukraine. The corridor is increasingly viewed as an important component of European energy security, diversification of gas supply sources and reduction of dependence on traditional routes.
At the same time, European transmission system operators and the European Commission continue to assess ways to make long-term capacity reservations more flexible. Additional adjustments to market rules could help attract more participants, increase liquidity and unlock further commercial potential along the Greece-Ukraine gas corridor.
The latest auction results confirm that the Vertical Gas Corridor is moving from a strategic concept toward a commercially active energy infrastructure route, strengthening Greece’s position as a gateway for LNG flows and improving supply flexibility for European markets facing ongoing energy security challenges.
