Free Trial

Bulgaria Gas Transit Tax to Start Next Week Raising Supply Risks

NATURAL GAS

Bulgaria’s tax on Russian gas transit shipments is due to start on Monday increasing the risk to export flows via the route according to a Montel source.

  • The impact of the tax is currently unclear with between 22 and 30 companies, including Gazprom still needed to pay.
  • “Most likely is that Russia won’t pay but will keep exporting,” the source said, with pressure from EU countries to keep supplies running. Russia had “probably” been negotiating with Bulgaria’s Bulgargaz “in the background.”
  • In mid October Bulgaria announced a 10.20€/MWh excise tax on Russian gas transit, impacting supplies to Serbia, Hungary and Austria.
  • Hungary’s EU Affairs Minister Janos Boka has called on the European Commission to launch a probe into the tax which the country considers illegal and an energy security supply risk.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.