Bulgaria is nearing the completion of significant segments of the Vertical Gas Corridor, an essential north-south infrastructure initiative designed to facilitate the transportation of liquefied natural gas (LNG) from Greece to Ukraine and other Central and Eastern European markets. Caretaker Energy Minister Traicho Traikov announced that two major projects within Bulgaria are set to become operational by the end of 2026, marking a critical milestone for regional energy security.
During his address at the Transatlantic Summit in Washington, which focused on gas security and diversification, Minister Traikov highlighted Bulgaria’s pioneering role as the first nation to initiate physical construction works on this corridor. He characterized the corridor as a strategic backbone for enhancing regional energy stability. Current construction efforts are aimed at expanding capacity at vital interconnection points, particularly at Kulata/Sidirokastro and Negru Voda/Kardam, which link Greece and Romania with Bulgaria. Upon completion, this corridor is expected to provide a high-capacity transit route capable of transporting up to 10 billion cubic meters of LNG annually from the Balkans towards Ukraine and other destinations.
To support these developments, Bulgaria has sought partial financial assistance from the European Union’s Modernization Fund. If granted, this funding would significantly reduce transmission costs and foster more competitive tariffs for both domestic and regional gas market participants, thereby enhancing market dynamics.
Looking ahead to 2026, further upgrades are anticipated at the Stara Zagora and Komotini interconnection points. These enhancements are expected not only to improve supply diversification but also to offer traders increased flexibility and access to alternative markets, further integrating Bulgaria into the regional energy landscape.
Minister Traikov reflected on the historical context of Bulgaria’s diversification strategy, citing the 2009 gas supply interruption that revealed vulnerabilities within the national energy framework. This crisis catalyzed closer cooperation with the European Commission and spurred the development of interconnectors with neighboring countries. The establishment of a link with Greece has been particularly pivotal, laying the groundwork for both the Southern Gas Corridor and subsequent infrastructure projects aimed at bolstering energy resilience.
While some previous initiatives like Nabucco did not come to fruition, Minister Traikov asserted that Bulgaria’s diversification strategy has proven effective. In 2022, amid heightened supply tensions following Gazprom’s ruble payment demands, Bulgaria successfully avoided disruptions thanks to alternative LNG supplies, including shipments from the United States.
