Serbia is actively negotiating a new long-term gas supply agreement with Russia to secure stable energy access and maintain low prices for both businesses and households. Energy cooperation was a central topic during recent talks between Serbian President Aleksandar Vučić and Russian President Vladimir Putin, with a focus on extending the current agreement and preserving favorable pricing terms.
Natural gas plays a vital role in Serbia’s energy mix, especially as consumption rises and the fuel is increasingly recognized—also within the EU—as a relatively clean energy source. Currently, Serbia pays around €275 per 1,000 cubic meters of gas, significantly lower than the market rate of approximately €400. This price advantage supports economic competitiveness and reduces energy costs for consumers.
Serbia is pushing for a long-term deal, potentially beyond the standard three-year term, and aims to retain the existing oil-indexed pricing formula. Given the geopolitical uncertainties, energy security through stable gas imports remains a top national priority.
To enhance supply resilience, Serbia has filled its Banatski Dvor storage facility and rented additional capacity in Hungary. While most of its gas still comes from Russia, Serbia imports smaller volumes from Azerbaijan and has access to more expensive LNG through Greece. Plans are also underway to construct a new domestic gas storage site, which would not only improve national energy security but also create potential for regional gas trade.
