Page 9 - GLNG Week 04 2023

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Questions raised over EU compliance of gas

deal between Bulgargaz and Turkey’s Botas

BULGARIA MARKET participants have reportedly raised agreement, non-transparent capacity allocations
questions about whether a recent agreement and exclusivity given to a certain company” lim-
Botas is set to resell between Bulgarian Bulgargaz and fellow state- its liquidity and opportunities for cross-border
Turkey-imported LNG to owned firm Turkish Botas complies with EU trading, which “is also not aligned with Turkey’s
Bulgaria’s Bulgargaz. rules. hub aspirations”, Glocal Group Consulting,
The January 3 deal gave Bulgargaz access to Investment and Trade energy expert and man-
liquefied natural gas (LNG) terminals in Tur- aging director Eser Ozdil told Argus.
key. It also granted the right for the Turkish European energy traders association Efet
gas transmission system to transfer up to 1.5bn has also relayed its concerns about access to
cubic metres (bcm) of gas per year to Bulgaria transmission capacity at Strandzha 1-Malko-
for 13 years. Analysts view the agreement as a clar. “Capacity has not been offered to the
first step in Turkey’s ambition to become a gas market, and preferential access appears to have
trade centre. been granted to Bulgargaz,” Efet said in an open
However, as Argus has pointed out, the deal letter. Efet said the European Commission, as
does not come with an interconnection agree- well as Bulgarian and Turkish authorities,
ment between Botas and Bulgarian grid operator should probe whether granting exclusive access
Bulgartransgaz for the shared interconnection “can be considered to have an anti-competitive
point Strandzha 1-Malkoclar. That casts doubt effect”.
on third-party access to the point. Botas is at present the only firm that receives
“Although we don’t know the full terms of the LNG in Turkey. ™

Week 04 27•January•2023 www. NEWSBASE .com P9