site.btaNatgas Price for February Increases to BGN 84.34/MWh, Up Nearly 3% from January, Energy Regulator Decides

The Energy and Water Regulatory Commission (EWRC) set the price of natural gas for February at BGN 84.34/MWh, excluding access, transmission, excise, and VAT costs, EWRC said here on Saturday. This represents an increase of nearly 3% compared to the January price of BGN 81.94/MWh.

At this price, state-owned gas supplier Bulgargaz will provide natural gas to end suppliers and entities licensed to produce and transmit thermal energy. EWRC said that the decision was made after analyzing updated data submitted by Bulgargaz on February 1, which determined February's natural gas price.

The entire volume of Azeri natural gas, delivered via the Bulgaria–Greece (IGB) interconnector under the long-term contract with Azerbaijan, is included in the price mix. EWRC said these volumes play a key role in securing a favourable price for the commodity.

Bulgargaz has signed two contracts for liquefied natural gas (LNG) supplies with traders, following a tender that required a minimum delivery price and a proposed payment method. The February price mix also includes gas from the Chiren underground storage facility.

The operator of the Alexandroupolis terminal notified Bulgargaz about partial restrictions, and later full restrictions (as of January 28), on regasification capacity and gas deliveries due to technical problems. Immediate measures were taken, and the planned supply was redirected to a terminal in Turkiye under an agreement with Botas.

With reduced gas demand in February, the share of Azeri gas—providing the most cost-effective option in the mix—has become more significant, EWRC noted. The TTF index for February is about 8% higher than in January. Despite these unfavourable factors, the regulated gas price has increased by less than 3% compared to the previous month.

The approved natural gas price consists of the commodity cost at the entry point of the gas transmission networks, a public service component according to the Ordinance on Natural Gas Price Regulation, and a component covering the costs incurred by Bulgargaz for storing reserves at Chiren to meet emergency plan requirements.

The secured volumes cover Bulgargaz’s commitments to end suppliers and district heating companies for February, and volumes under bilateral contracts with industrial clients, EWRC added.

EWRC previously set the January natural gas price at BGN 81.94/MWh, excluding access, transmission, excise, and VAT.

Early in January, Bulgargaz announced that Azerbaijan had suspended supplies from January 7.

On January 11, it emerged that supplies were suspended due to a malfunction of a pipeline carrying natural gas from the bottom of the Caspian Sea to the Sangachal Terminal on the Caspian shore south of the capital Baku. The report was confirmed to the local Trend News Agency by British energy giant BP, the lead partner in a consortium operating the Shah Deniz gas field in Azerbaijan.

On January 16, Bulgargaz stressed that the suspension of deliveries from Azerbaijan in January would not affect the price proposed by the public supplier for February.

On January 19, Azerbaijan resumed natural gas deliveries to Bulgaria, Bulgargaz said. During the suspension, Bulgargaz relied on various sources to supply the necessary quantities of natural gas to its customers, including the Chiren underground gas storage facility, imports of liquefied natural gas from previous deliveries stored in Turkiye, and liquified natural gas from the terminal in Alexandroupolis, Greece.