site.btaAugust Natgas Price Expected to Remain Unchanged from July

The price of natural gas in August is expected to remain unchanged from July, the Energy and Water Regulatory Commission (EWRC) said on Thursday.

EWRC discussed a report on a July 11 proposal by state-owned natural gas distributor Bulgargaz concerning the price of gas in August. The report, compiled by a working group, has been posted on the regulator's website. Bulgargaz executives attended EWRC's open-door meeting.

Based on data and documents provided by Bulgargaz and after necessary calculations, the price of natural gas proposed in the report is BGN 61.18/MWh (exclusive of access, transmission, excise duty and VAT costs) as of August 1, 2023.

The August price mix includes the whole amount of Azeri natural gas coming via the Greece-Bulgaria Interconnector under Bulgaria's long-term agreement with Azerbaijan. Azeri gas will meet 74.66% of the month's consumption needs in Bulgaria and is essential for achieving a favourable price level, EWRC said.

The Bulgargaz executives said at the meeting that they expect the gas price in August to be the same as in July, or insignificantly lower.

On August 1, Bulgargaz will provide EWRC with up-to-date numbers relevant to the formation of the gas price for August. They will take account of the price levels on international natgas markets and the exchange rate of the Bulgarian lev to the US dollar by July 31. Later on August 1, the regulator will adopt a decision establishing the price at which Bulgargaz will sell natural gas to end users in August.