The Bulgarian Commission for Energy and Water Regulation (KEVR) approved a 1% decrease in wholesale natural gas prices for June 2026, following a proposal submitted by public supplier Bulgargaz in mid-May. The adjustment brings the wholesale price to 35.62 euros/MWh, excluding VAT and excise duties. The decision follows a 5% increase approved for May.
The June level is more than 10 euros/MWh (around 25%) lower than prices seen on major European gas trading hubs. It is also the third consecutive month in which Bulgarian consumers have benefited from cheaper gas relative to broader international market levels.
Azeri volumes and LNG tenders support June pricing
Bulgaria’s long-term supply agreement with Azerbaijan is identified as a key factor behind the stability in the June price. The full contracted volume of Azeri natural gas delivered via the Greece-Bulgaria interconnector (IGB) has been included in the June pricing structure. This incorporation is described as contributing to contained overall costs.
Additional supply for the period is supported by liquefied natural gas (LNG) purchases. Bulgargaz acquires cargoes through competitive tender processes, which is cited as strengthening diversification and supply security.
Scope of KEVR-approved prices and outlook for July
The approved pricing applies to Bulgargaz sales to gas distribution companies, as well as to licensed industrial consumers and district heating operators. Regulatory analysis links Azerbaijani deliveries to insulating the Bulgarian market from sharper price increases reported in other parts of Europe in recent months.
Market expectations indicate potential upward pressure after June. From July onward, the pricing formula under Bulgaria’s long-term agreement with Azerbaijan is expected to be revised, reflecting higher global oil prices recorded over the previous quarter.
Storage injections, LNG competition and geopolitical risks
Energy analysts also point to broader factors that could affect gas costs later in the year. European countries are increasing storage injections ahead of the winter season, while competition for LNG cargoes between Europe and Asia remains intense.
Geopolitical risks affecting major energy supply routes are also cited as a contributor to tighter conditions. Together, these elements are expected to raise the likelihood of higher prices in the second half of the year.
