NERC Introduced New Tariff Rules for Interstate GTS Connections

18:39, 23 June 2026
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New rules for capacity allocation of interstate connections will take effect from July 2026 and will apply to capacity used from the start of the new gas year - from October 1, 2026.
NERC Introduced New Tariff Rules for Interstate GTS Connections
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The National Energy and Utilities Regulatory Commission adopted decisions on June 23 aimed at further integrating Ukraine's gas market into the single EU natural gas market. The changes provide for the introduction of European rules for capacity allocation and tariff setting on interstate connections of the gas transmission system.

In particular, the Regulator completed the regulatory steps to introduce joint auctions for capacity allocation of interstate connections. This mechanism provides for the simultaneous allocation of capacity of the Ukrainian gas transmission system and neighboring countries, in line with European natural gas market practices.

The new rules for capacity allocation of interstate connections will take effect from July 2026 and will apply to capacity used from the start of the new gas year - from October 1, 2026.

To participate in auctions, transportation service customers must conclude agreements not only with the Operator of the Ukrainian GTS but also with operators of adjacent gas transmission systems of EU member states and the Republic of Moldova. A customer allocated combined capacity will have the right to transfer the right to submit nominations and renominations for such capacity to another customer.

Additionally, NERC established tariffs for LLC "Operator of the Ukrainian GTS" for natural gas transportation services at entry and exit points on interstate connections in energy units (MWh per day). These tariffs will apply from October 1, 2026.

The transition to capacity allocation and tariff determination in energy units will ensure alignment of the Ukrainian gas transmission system operation with European market approaches. This will increase transparency of access rules to interstate infrastructure, facilitate proper customs procedures during natural gas imports, and strengthen Ukraine's energy security.

The adopted decisions are an important step in fulfilling Ukraine's commitments to integrate with the European natural gas market. They ensure the implementation of European network codes and harmonization of Ukrainian gas market operation rules with EU legislation.

At the same time, these decisions represent the next stage in implementing the Roadmap "Long-term solution to enhance the commercial attractiveness of the Trans-Balkan route and guarantee natural gas supply to Ukraine," developed in response to DG Energy requirements of the European Commission.

"For potential and current market participants, NERC's decisions define interaction mechanisms during capacity booking on interstate connections and natural gas transportation.

Specifically, the international auction platform GSA will be used for capacity allocation on the Ukrainian-Polish interstate connection, while the RBP platform will be used for interstate connections with Hungary, the Slovak Republic, Romania, and the Republic of Moldova.

For electronic interaction with transportation service customers, the information platform of the Ukrainian GTS Operator will be used, and for determining marginal prices - data from the trading platform of LLC "Ukrainian Energy Exchange," the Commission added.

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