Power Supplier CEZ Invested BGN 17 M in Bulgaria Energy NetworkEnergy | May 10, 2010, Monday // 15:10| views
Parts of the investments made by Czech-owned power supplier CEZ are for revamping the Bulgarian electrical current conductors. Photo by BGNES
Czech-owned power supplier CEZ is said to have invested BGN 17,1 M in boosting the country's electricity distribution network since the beginning of 2010.
Representatives of the power utility announced Monday that the CEZ investment budget corresponds to the one approved by Bulgaria's State Commission for Energy and Water Regulation (DKEVR) which amounts to an average of BGN 71 M per year.
CEZ has also informed that almost half of the investments made during the first 4 months of 2010 were for improving the energy supply network in Bulgaria.
Some of the main projects of the Czech-owned power utility include the construction of a facility for high, medium and low voltage transmission, modernization of the network (revamping the electrical current conductors), rehabilitation of the old equipment, recycling of old electricity panels.
Meanwhile, CEZ is reported to have spent an additional BGN 3,2 M on attracting new customers and BGN 2,5 M on acquiring new energy equipment.
In April, 2010, Bulgaria's Energy Minister Traycho Traykov announced that a regulatory audit of the three foreign power utilities, will be launched Czech-owned CEZ, German-owned E.ON, and Austrian-owned EVN, to probe into the efficiency of the investments made.
DKEVR has already announced that the initial checks have shown that the three power-utilities have had some unsuitable spendings.
In May, 2010 DKEVR informed they expect prices to go down, especially if the probes show the companies have artificially increased their cost by outsourcing, while CEZ, E.ON and EVN already asked for a hike between 3% and 10%.
DKEVR issued two fines for CEZ, in the amount of BGN 100 000 and BGN 60 000 for delaying the reinstating on the monthly billing cycle as ruled by the Court.
In November 2009, a five-member panel of the Supreme Administrative Court upheld the ruling of its three-member panel, which turned down the appeal of the company against a 2008 decision of the energy regulator, forcing CEZ to end its three-month electric power billing by the end of March, 2009 in a bid to protect consumers' interests.
CEZ has already been fined with BGN 500 000 fine on CEZ for not introducing monthly bills.
After the Court's rule, the Czech power utility, which supplies power to over 2 million households and companies in western Bulgaria, including the capital Sofia, announced it will introduce monthly bills as of February 1.
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