Serbia, with only 13 kilometers of gas pipelines on its territory and Romania planning to build 85 kilometers, will gain a new gas supply direction and source. This upcoming gas pipeline marks Serbia’s second partnership with the European Union for gas supplies, ending over 25 years of reliance on Russian gas.
The new pipeline will connect the hub in Mokrin, Serbia, with the BRUA gas pipeline in Romania. On August 5, Serbia’s Energy Minister Dubravka Đedović Handanović and Romania’s Energy Minister Sebastian Burdușa signed a Memorandum of Understanding for this gas interconnector. Ion Sterian, CEO of the Romanian state-owned gas company Transgaz, explained that the BRUA pipeline not only facilitates gas transit but also includes Romanian domestic gas production.
The Memorandum outlines that the pipeline will be bidirectional, allowing gas to flow to both countries. The projected capacity is at least 1.6 billion cubic meters of gas, with the Serbian section expected to be completed by 2027. The estimated cost for the Romanian section is around 80-85 million euros, with Romania financing it through its own funds. Serbia’s public gas company, Srbijagas, will oversee the construction of its section but has not yet disclosed cost details or financing methods.
Benefits for Serbia:
- Reduces dependence on Russian gas.
- Establishes Serbia as a key transit country for Central Europe’s gas supply.
- Provides access to new sources, including potential future Black Sea gas discoveries.
Energy expert Dragan Vlaisavljević highlights that the pipeline will enhance gas delivery flexibility and secure supply for Serbia’s economy and population. Serbia’s existing gas interconnector with Bulgaria, opened in December 2023, provides additional access to Azerbaijani and Greek liquefied gas, partially covering Serbia’s annual gas needs.
Benefits for Romania:
- Diversifies export markets for its excess gas.
- Exploits new gas fields in the Black Sea.
- Romania produces nearly twice its gas needs, with the surplus currently reserved for winter consumption and export.
Romania aims to expand its gas export markets as it increases production from the Black Sea fields, which will significantly boost its export capacity.
Energy Cooperation: Serbia and Romania’s energy collaboration spans over fifty years, including electricity trade. In 2023, 28% of their trade involved electricity. Ongoing negotiations also consider Romania’s role in the construction of the “Đerdap 3” hydroelectric power plant, a project of special importance to Serbia. Details of this potential cooperation are still under discussion.
