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September 27, 2020
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FPPG: BRUA gas pipeline, essential stage for development of National Natural Gas Transmission System

The Bulgaria-Romania-Hungary-Austria gas interconnector (BRUA) is an essential stage in the development of the National Natural Gas Transmission System, according to the representatives of the Oil and Gas Employers’ Federation (FPPG).

“Despite the severe impact felt by the energy sector as a result of the current health crisis, members of the federation recognize the upward trend of the European Union’s dependence on natural gas imports. Against the backdrop of a steadily rising demand combined with the drop in the domestic output, ensuring the security in the supply with natural gas is a necessity. The BRUA gas pipeline is therefore an essential stage in the development of the National Natural Gas Transmission System (NTS). This project aims to increase security in Romania’s natural gas supply through access to new sources, as well as the transit towards the Central European markets of the natural gas production from the Caspian Basin. In addition, BRUA represents a way of access to the European markets of a part of Romania’s potential production from the Black Sea,” they specify in a press release sent to AGERPRES on Tuesday.

According to the studies and analyses carried out by FPPG with the support of experts in the field, the interconnection of Romania to the regional transport networks is an essential step in the development of the Romanian natural gas market. There are multiple advantages which concern energy security, as well as commercial, economic, political and social benefits.

Among these advantages, FPPG mentions the connection to the regional natural gas transmission corridors, which allows the supply of new sources, the development of a transparent and liquid domestic trading market, supported by the bidirectional connection with the European Central Gas Hub in Baumgarten (CEGH), which will be established through the BRUA gas pipeline and will provide consumers with predictability and security of supply.

At the same time, according to the federation’s representatives, the interconnection can give Romania an important position in the regional markets and implicitly will increase energy security; also, the activity of underground storage of natural gas, with significant geological potential for expansion, can be developed and modernized on a commercial basis, in a regional market context and the access of Romanian gas producers to regional and European markets will stimulate investments in the upstream segment and in infrastructure.

The Oil and Gas Employers’ Federation (FPPG) is representative at the level of the “Energy, Oil and Gas and Energy Mining” activity sector and, through affiliated companies, represents over 90% of domestic production of oil and natural gas, the oil and natural gas transportation sector, natural gas supply as well as a significant part of the refining, marketing and distribution of petroleum products in Romania.

FPPG is a founding member of the Concordia Employers’ Confederation, the only entity in Romania affiliated to the “International Organization of Employers” – IOE and “Business Europe” – BE.

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