With the backdrop of prolonged inaction and repeated failed auctions, the Everywhere Natural Gas Corridor is back on the table in a teleconference that is seen as pivotal to its course. The five countries’ operators are attempting, through a joint proposal, to secure European Commission approval for a new operating framework that aspires to address chronic weaknesses and put the project back on track.

The context appears more favourable than in previous months, as increased supply uncertainty and strengthening gas demand bring the need for reliable alternative routes to Europe back to the fore. In this environment, the Vertical Corridor is regaining importance not only as a commercial option, but also as an energy security tool for South-Eastern Europe and Ukraine.

The new tariff “formula” is on the table

Today’s teleconference brings together transmission system operators – including DESFA on the Greek side -, national regulators, as well as the European Commission, which is called upon to give the final direction. The central issue is the approval of a new tariff approach that provides for a significant reduction of transit fees along the route.

At the same time, the proposed methodology introduces for the first time longer-term capacity commitment products – monthly, quarterly and annual – attempting to address a key flexibility deficit that has so far acted as a market deterrent. The provision for access to all Virtual Trading Points of the countries involved is also part of the same framework, facilitating trading activity and flow management.