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Benefits

Main Driver

Market Demand

Main Driver Explanation

This project is of great interest for the development of the natural gas sector in B&H, as its implementation would provide new route of supply B&H with

gas, with a possibility of diversification of supply sources and increase in security of supply of the existing transportation system of B&H, and especially in

the circumstances of the natural gas supply of the refineries Brod and Modrica and planned power plant (PP) Zenica and CCGT Kakanj, as well as the

expansion of the market and increase in the competitiveness of natural gas. The construction of this gas pipeline would enable the B&H gas transmission

system to connect with the Croatian gas transmission system through the pipeline from Slavonski Brod to Donji Miholjac, and then with the Hungarian

pipeline. It will connect BH market to the new LNG in Croatia and Baumgarten via Slovenia.

Benefit Description

It will be new interconnection, new entry point and transmission route for the needs of BH; it will be SoS and diversification of supply route for Bosnia and

Herzegovina. It will anable BH access to Croatian UGS.This project is an interconnection of the gas systems of Croatia and Bosnia and Herzegovina on the

route Slobodnica-Brod-Zenica. The most important impacts and benefits of this project: 1. It provides viability and security of supply of Bosnia and

Herzegovina; 2. It provides diversification of supply routes and sources for the market of Bosnia and Herzegovina; 3. It provides development of the gas

market in Bosnia and Herzegovina; 4. Introducing an environmentally more acceptable energy source (replacement for firewood, coal, fuel oil and

complementary generation to renewable energy, and the potential for new CCGT and PP); 5. Reducing CO2 and SO2 emissions in the B&H and region and

facilitating economic development.

Barriers

Barrier Type

Description

Political

This project is politicaly very sensitive and depends on the agreement with Republika Srpska and agremments within B&H and its TSOs (BH Gas and

GasRES)

Intergovernmental Agreements

Agreement

Agreement Description

Is Signed Agreement Signature Date

Letter of Intent

between Plinacro and BH Gas for all projects of interconnection

Yes

06/04/2011

Memorandum of understanding

signed between Plinacro and BH Gas

Yes

26/06/2006

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Current TYNDP : TYNDP 2017 - Annex A