At the 55th International Gas Conference in Hungary, Bulgartransgaz CEO Vladimir Malinov emphasized the continued importance of natural gas in southeastern Europe’s energy mix. He explained that as electricity demand continues to grow and stable generation capacity remains vital for energy security, natural gas continues to play a key role.
Bulgaria experienced a 5% increase in electricity demand at the beginning of 2025, and this upward trend is expected to continue. Meanwhile, brown coal has become less competitive, leading to a decline in its market share. Although renewable energy projects are expanding, Malinov stressed that the region still needs reliable base load and peak generation capacity. In this regard, gas-fired power plants remain among the most effective options.
For such projects to advance, sufficient gas transmission infrastructure from secure suppliers must be ensured. Malinov highlighted the ongoing construction of the Vertical Gas Corridor across Bulgaria, as well as the increased transmission capacity between Greece and Bulgaria and between Bulgaria and Romania, which will become available during the next annual auction.
He also noted that diversification is becoming increasingly feasible thanks to the United States’ strategy of expanding natural gas production. Significant imports of American liquefied natural gas (LNG) through the Vertical Gas Corridor and facilities such as the Alexandroupoli terminal in Greece, which has recently resumed operations, will support the region’s efforts to phase out long-term contracts for Russian gas over the next two years in line with European regulations. Alongside deliveries from Azerbaijan, these supplies are expected to strengthen a more resilient and diversified energy system.
Regarding Bulgaria’s underground gas storage project in Chiren, Malinov pointed out the importance of aligning investment plans with current market realities. The traditional price difference between summer and winter gas has narrowed, raising concerns about the profitability of new large-scale storage projects. The Chiren facility itself has already expanded its capacity from 550 to 650 million cubic meters and is currently more than 80% full.