The pricing under the agreement between Bulgargaz and Turkey's State energy company Botas is not detrimental to the Bulgarian State and, respectively, to the Bulgarian public supplier, Energy Minister Rumen Radev said, addressing Parliament during Question Time on Friday.
The Minister specified that under the agreement, signed in Sofia on January 3, 2023, Bulgargaz will be buying natural gas at a price it agrees with the supplier. The first payment under the agreement is effected at the terminal in Turkey at the price agreed between Bulgargaz and the supplier concerned. Subsequently, these quantities of natural gas are transferred at the Strandzha entry point, where the final fee payment is made.
"This is the pattern, it does not harm [Bulgaria's] interests," Radev said. In his words, Bulgargaz also has clear control over the origin of the natural gas through the certificates submitted directly by the natural gas seller rather than Botas.
The Bulgargaz-Botas agreement gives the Bulgarian public supplier access to Turkey's gas transmission infrastructure for the period from January 1, 2023 to December 31, 2035, Radev pointed out. He noted that the agreement also covers natural gas purchase and sale. In his opinion, even though the agreement is legally binding it may be renegotiable. It has already produced an effect, with natural gas supplied in April 2023. Nevertheless, the Energy Ministry will try to reconsider and renegotiate certain clauses in the agreement. "The agreement with Botas can be terminated under harsh conditions," Radev commented further on.
/RY/
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