Intergovernmental Agreement on the IGB Gas Connector between Bulgaria and Greece

On September 29, 2026, an intergovernmental agreement between the Republic of Bulgaria and the Republic of Greece concerning the IGB gas interconnection was published. This agreement, ratified by the Bulgarian parliament, is part of a strategic initiative to enhance regional energy security by improving gas infrastructure and ensuring a more secure and integrated natural gas market.

What changes

The agreement sets the terms for taxation and operational activities of the transboundary gas connection between Bulgaria and Greece. This includes tax reliefs and exemptions specific to the IGB project. Additionally, it establishes legal mechanisms to prevent double taxation and creates a framework of cooperation between the two countries, which may improve energy security and facilitate future infrastructure projects.

Who is affected

The main affected parties are the governmental institutions of Bulgaria and Greece, as well as the IGB project participants, including investors and contractors. The agreement does not introduce new immediate obligations for general businesses in the countries; it primarily impacts gas transmission operations and related projects.

Dates and deadlines

The agreement was signed on October 10, 2019, and ratified by the Bulgarian parliament. Although there is no clearly defined effective date in the text, we can use the publication date as a timeframe guideline.

Practical next steps

Businesses are not required to take immediate actions unless they are part of the IGB project. Potential investors or participants in projects related to the gas pipeline system should familiarize themselves with the provided tax benefits and administrative procedures to optimize their involvement benefits, as allowed by this agreement.

What to check for your situation

The contract does not impose new obligations or restrictions for the general business sector outside the scope of gas transmission and related infrastructure projects. The main burden of the agreement falls on governments and specific investors in the gas infrastructure.