There is reportedly a possibility that Serbia and North Macedonia will be incorporated in next month’s capacity booking auction within the Vertical Gas Corridor mechanism. The two countries are forming a branch for receiving the fuel via Greece, with an emphasis on liquefied natural gas from the United States.
Following a ministerial meeting in Athens last month, the Vertical Gas Corridor auction on July 6 for booking capacity may include Serbia and North Macedonia, Greek media learned. Pipeline and interconnector operators, regulators and the European Commission struck a deal earlier this year to slash transit fees and adjust the offer of the services.
The Vertical Gas Corridor initiative is facilitating supply via Greece, Bulgaria and Romania to Moldova and Ukraine and beyond. The United States has recently stepped up its push to sell liquefied natural gas (LNG) in the region. Serbia and North Macedonia have yet to build interconnectors and pipelines that would make them significant participants in the mechanism.
The two gas interconnectors are scheduled to come online next year
The bidding on July 6 will be the first with the new so-called capacity products or route products, for delivery in October. The Vertical Gas Corridor provides bundled transmission packages, under streamlined rules across jurisdictions. They are for annual or short-term periods, for firm or interruptible supply.
Pipelines are due to connect Greece with North Macedonia and North Macedonia with Serbia next year and form another Balkan branch in the corridor. The former’s initial annual capacity would be one billion cubic meters, with a possibility to boost it to 2.8 billion. The Serbia – North Macedonia interconnector project is for one and a half billion cubic meters per year.
Serbia is also planning a pipeline to neighboring Romania, adding another route to the Vertical Gas Corridor. Notably, the Neptun Deep offshore facility under the Black Sea is about to make it the biggest natural gas producer in the European Union.
