Croatia and Bosnia sign Southern Gas Interconnection treaty to widen gas supply options

Croatia and Bosnia and Herzegovina have formally signed a cross-border agreement intended to strengthen regional energy security by diversifying the gas supply options available to Bosnia and Herzegovina. The treaty, concluded in Dubrovnik by Croatian Prime Minister Andrej Plenković and Bosnia’s Council of Ministers President Borjana Krišto, sets out the construction of the pipeline linking the two countries.

Pipeline designed to diversify Bosnia’s gas supply

Officials said the project is expected to materially improve supply diversification for Bosnia and Herzegovina by enabling access to alternative gas sources. A key element of that plan is the ability to draw on liquefied natural gas (LNG) delivered through Croatia’s Krk terminal.

Both sides framed the interconnection as a strategic regional infrastructure project with long-term significance, arguing it will help bolster energy security amid ongoing global uncertainty. On the Bosnian side, representatives described the initiative as a turning point in efforts to diversify energy routes and reduce reliance on limited sources.

Approvals completed before formal adoption

The agreement had already cleared major institutional steps ahead of the signing ceremony. It first received approval from the Council of Ministers, followed by endorsement from the Presidency of Bosnia and Herzegovina—clearing the way for formal adoption with international representatives present.

Regulatory compliance and open access emphasized

While there had been earlier concerns about potential disagreements among international stakeholders, European and US officials confirmed that the project will comply fully with EU energy market regulations. Those rules require open access to infrastructure and prohibit preferential treatment for individual companies, ensuring equal access for all potential gas suppliers.

External investor proposals were also said to align with EU requirements, particularly the EU Third Energy Package. That framework calls for separating infrastructure operators from gas suppliers to support fair competition.

Economic implications for domestic firms

Beyond energy security, government officials highlighted broader economic and industrial effects. Federal Energy Minister Vedran Lakić pointed to years of preparatory work leading up to this stage, while Energoinvest CEO Mirza Ustamujić said the project is important for strengthening energy independence and integrating domestic companies into major regional developments.

Once completed, the Southern Gas Interconnection is expected to serve as a key pillar of regional energy cooperation—supporting a more resilient and diversified gas supply system across Southeastern Europe.