July 18 (SeeNews) - The price of natural gas in Bosnia's Serb Republic will be raised by 16%, applicable as of July 1, local media reported.
The price hike reflects the adequate increase of gas price supplied by Russia's Gazprom to the entity, news daily Glas Srpske reported on Friday, citing Ljubo Glamocic, director of Serb Republic's natural gas distributor Gas-Res, as saying.
Under a gas supply agreement signed by Gas Res and Gazprom in 2015, the Russian company adjusts gas prices on a quarterly basis taking into consideration the prices of oil derivatives on the stock exchange, Glamocic said. The current contract between Gas Res and Gazprom expires by the end of 2022.
The Russian gas is flowing to the Serb Republic via Turkey, Bulgaria and Serbia.
The Serb Republic is one of two autonomous entities that form Bosnia and Herzegovina. The other one is the Federation.
The government of the Federation last week approved an increase of 23.4% of the wholesale gas price in the entity, its second price hike this year. In April, the government of the Federation raised the wholesale gas price by 21.7%.