Today, 12 December 2019 in Brussels, Belgium a new Memorandum of Understanding (MOU) for the realization of the Vertical Gas Corridor was signed. Parties under the document are the TSOs of the gas transmission network of Bulgaria, Greece, Romania and Hungary, e.g. BULGARTRANSGAZ EAD, DESFA S.A., TRANSGAZ S.A., FGSZ LTD and the project company ICGB AD which realized the Interconnection Greece-Bulgaria (IGB) project. Mr. Klaus-Dieter Borchardt, Deputy Director-General of the European Commission's Directorate-General for Energy attended the ceremony.
The Vertical Gas Corridor concept aims to develop the possibilities for bidirectional natural gas transport between Bulgaria, Greece, Romania and Hungary. The Parties under the MoU commit to develop and promote both the key cross-border interconnection projects identified by the European Commission as PCIs and all other projects enabling the realization of the corridor.
Implementing projects in the context of the Vertical Gas Corridor corresponds fully with Bulgartransgaz EAD objectives to establish a liberalized, competitive and transparent natural gas market in Bulgaria, as well as diversifying sources and routes. This will significantly facilitate to increase the energy independence and security in the country. To achieve these objectives, the company works towards the construction of the required infrastructure as well as establishment of all conditions required for the gas market functioning in the country .
In the light of the objectives of the previous MoU for the realization of the Vertical Gas Corridor, Bulgartransgaz EAD managed to realize several key projects and initiatives which significantly increase the possibility for bi-directional transport. Apart from the first phase of the PCI 6.8.2. Rehabilitation, modernization and expansion of the Bulgarian transmission system, Bulgartransgaz EAD also works in cooperation with the Romanian and Greek TSOs to optimize the use of the existing interconnections. Thanks to the joint efforts of Bulgartransgaz EAD and DESFA S.A., the capacity of IP Kulata/Sidirokastro has been significantly increased to 4.1 mcm/d firm entry capacity and additional 0.5 mcm/d interruptible capacity. As of 1 January, 2020 firm capacity amounting to more than 10 mcm/d will be offered at IP Negru Voda 1/Kardam as a result from the good cooperation between Bulgartransgaz EAD and Transgaz S.A.
The signed new MoU will facilitate to continue the good cooperation and coordination between the TSOs as well as to complete ongoing projects and realize new project. Such as the LNG Terminal project near Alexandroupolis and Interconnection Greece-Bulgaria (IGB). Both projects are key for achieving routes and sources diversification as they will ensure access to Central and South East Europe to natural gas from Azerbaijan using the already built Trans-Adriatic Gas Pipeline and Trans-Anatolian Natural Gas Pipeline in Greece and Turkey as well as LNG from various sources.
The Vertical Gas Corridor will facilitate to achieve key objectives for the European Energy Policy, namely energy security and market integration through routes and sources diversification as well as increased the competition.
