The Minister of Energy: Already in the morning “Bulgargaz” asked for an opinion from its legal advisers
In the late afternoon of December 30, Russian President Vladimir Putin issued a decree authorizing certain gas payments to Gazprom in foreign currency. This happens hours before the expiry of the contract between “Gazprom Export” and “Bulgargaz” for the supply of Russian gas. Thus, the last hours of 2022 have become hot for the Bulgarian energy sector.
The new decree allows payments to Russian suppliers if they collect debts from foreign buyers or themselves repay debts to Russian suppliers under natural gas supply contracts. Payments can be in the foreign currency stipulated in the contract, and be made through a special account, the document reads.
Thus, the President of the Russian Federation amended the previous decree of March 31, which provided for the obligation to open a ruble account, in which to convert the payment into dollars or euros.
What does this mean for the Bulgarian part of the contract?
“Bulgargaz” recalled that the contract with “Gazprom Export” expires today, and in this case consultations will be sought by decree of the Russian president.
Energy Minister Rosen Hristov replied to “24 Chasa” that already in the morning “Bulgargaz” asked its legal advisers for a legal opinion. “In any case, we cannot make payments on weekends because the banks are not functioning. After receiving an opinion from the lawyers, we will take the necessary steps if necessary,” Hristov replied.
Senior sources in the energy sector commented that this was a rather underhanded move as no banks were open on the last day of the year. And that this is preparation for future arbitration and will affect not only our country, but also others in Europe who have refused to pay in rubles.
According to other experts outside the state energy industry, it is possible that on January 27, “Bulgargaz” will receive a contract penalties bill of about $800 million, excluding interest. The deadline for payment would be February 15th. Otherwise, an arbitration case is likely to be filed.
According to the contract, there were summer payments for non-accepted, according to some, and according to others – non-received quantities. They amount to 4% of the gas.
The minimum annual quantities of gas for which payment is due amounted to 80% of 2.9 billion cubic meters, equal to 1.5 billion According to the contract, in the first half of next year, the Bulgarian company is entitled to receive 450 million cubic meters M. So that about 1 billion cubic meters of gas remains, which will probably be disputed.
The daily demands that “Bulgargaz” has made, according to these experts, are not an obligation, but a right of the company to optimize its delivery schedules.
With the end of the year just a few hours away, it is clear that there is no clarity on the case with Putin’s new decree.
