Dear Partners,

We would like to inform you that, in line with the requirements of the Energy Act (Art. 176, paras. 1–3), as of January 1, 2025, the legal obligation for natural gas trades with a delivery period of up to one year inclusive to be exclusively concluded or administered on an organized market will no longer apply.

Meanwhile, Balkan Gas Hub EAD will continue to offer trades administration services on a voluntary basis, as this service provides significant added value to market participants. It not only reduces administrative burdens and optimizes costs but also offers convenience, transparency, and security in managing transactions. This service is a key tool for ensuring market stability and sustainability while supporting the effective operation of all participants.

We are also pleased to inform you that, starting January 1, 2025 Balkan Gas Hub EAD will reduce the transaction fee for administering bilateral deals in the long-term segment (including deals resulting from auctions initiated by BGH members) from BGN 0.04/MWh to BGN 0.03/MWh. At the same time the preferential tariff structure for the administration of trades through the brokerage service will remain unchanged.

Contract administration on the BGH market is one of the most utilized services and offers the following benefits to market members:

ü  Automatic transaction reporting and return receipt acknowledgments from ACER, in compliance with REMIT and REMIT II;

ü  Real-time trade notifications for transactions at the respective virtual trading points to the TSO;

ü  Flexibility to modify daily quantities via the BGH information system, with subsequent submission of updated data to the TSO;

ü  The option to use a standardized contract for long-term deals on the BGH market, providing legal clarity and efficiency;

ü  Transparency and legitimacy, guaranteed by registration on a licensed organized market.

Thank you for your trust, and we remain at your disposal for any additional information!

Sincerely,

The Gas Hub Balkan EAD Team