The only way to increase the security of gas supply to Bosnia's Federation (FBiH) entity is to build an alternative pipeline into the country, the FBiH Energy Minister Nermin Dzindic said Thursday after the FBiH's gas supply was temporarily cut Wednesday.
“Our Agreement with Srbijagas and Gas Promet lasts for one year, and yesterday's marathon meeting has ensured that we never get into the same situation,” Dzindic noted.
A gas transport company from Bosnia's Serb-majority entity of Republika Srpska (RS) had shut off the valves that would have left the other entity, the Federation (FBiH), which is mostly populated by Bosniaks and Croats, without gas within the next 24 hours.
The RS’ Gas Promet company said it did so because the state company BH-Gas had not renewed its contract for the next year.
BH-Gas had a contract with Srbijagas, neighbouring Serbia’s gas company, responsible for transporting it through the RS to the FBiH. That agreement expired on September 30.
Meanwhile, the transport of gas was taken over by Gas Promet which insisted the renewal of the contract should be arranged as a deal between two independent states, although Republika Srpska is only an entity within Bosnia.
The RS authorities have for years worked toward elevating the status of their half of the country to that of a separate state, which is unacceptable for the FBiH.
Speaking about the southern interconnection which would connect Bosnia to the Croatian pipeline, he said the project should be completed by mid-2020 and that the project involves BH-GAS, USAID and several other international companies.
“We expect the process will pick up speed, because we concluded after yesterday's meeting that we must have an alternative for any energy source, including natural gas,” Dzindic noted.
However, he stressed that Bosnia presently has access to only one pipeline going through Hungary, Serbia, connecting to Bosnia in the eastern town of Zvornik.
According to the Minister, BH-Gas signed the contract with the RS’ company Gas Promet who became the owner of a majority part of the 19-kilometre pipeline, where Srbijagas owns a 40 percent share.