Unlocking the Trans-Balkan Pipeline: A key gas supply solution for Moldova and Ukraine, and the integration of Central and South-East gas markets

Gas
7 October 2024

The Energy Community Secretariat's latest study examines the commercial potential of the Trans-Balkan Pipeline (TBP) as a key safety gas supply line for Moldova and Ukraine, especially considering the halt of gas flows through Ukraine’s pipeline system.

Improvement of the Commercial Attractiveness of the Trans-Balkan Pipeline System – Analytical and Recommendations Reportreleased following the Gas Forum 2024, highlights key challenges - such as high transmission tariffs, and limited cooperation between Moldova, Ukraine, and EU member states (Bulgaria, Romania, Greece) - that must be addressed to fully unlock the TBP’s potential and strengthen regional interconnectivity.

The report reinforces key takeaways from the recent Gas Forum, emphasising the urgent need for stronger regional cooperation and improved regulatory frameworks. During the study’s execution, with the Energy Community Secretariat’s active involvement, Moldova and kraine initiated closer collaboration, resulting in an increase of firm capacity by 0.4 bcm in reverse flow between the two countries - an early but significant achievement.

The study also calls on regulatory authorities to develop transparent tariffs that better reflect the shifting gas flows in the post - Ukraine transit landscape.

The report calls for the development of an attractive, compliant commercial model for reverse flows, competitive tariffs, and additional technical investments to fully unlock the TBP’s potential.

Strengthened cooperation and regulatory harmonisation are critical to maximising the pipeline’s effectiveness as an asset that benefits not only the region but the whole of Europe.

This report was produced with the financial support of the European Union in the framework of the EU4Energy Governance initiative but do not necessarily reflect the views of the European Union.