BOTAS, a Turkish natural gas company, paid more than 200 million euros to DEPA in retroactive charges awarded by an international arbitration court and this sum will be proportionally credited to all DEPA customers, a development offering a significant advantage to the privatisation of the company, currently underway.
The dispute between the two companies was the pricing policy by BOTAS to purchases of natural gas by DEPA using the Greek-Turkish gas pipeline. The Stockholm arbitration tribunal ruled on January 10 that BOTAS should pay all retroactive charges to DEPA, settling a nine-year dispute between the two companies. The new pricing rate for natural gas purchases has already been implemented since January.
Gerasimos Thomas, Energy and Natural Resources Deputy Minister, commenting on the news said: “This is particularly positive news at the most opportune moment with the privatisation process underway.”
Constantinos Xifaras, CEO of DEPA noted: “The final settlement of the long-term dispute with BOTAS, and in a way that is extremely beneficial to DEPA, justifies the efforts we have been making all this time to reduce the cost of procuring gas for the benefit of our customers and our country. Repayment of retroactive charges significantly increases the liquidity of DEPA and its clients and greatly enhances its economic and commercial value, which places it at the top of the energy pyramid in the Balkans. Our services are already evaluating the result and will soon be sharing the return amount for each customer.”
The deadline for the DEPA Trading acquisition expires on March 23.