Restriction for Annual Update of Electricity Prices in Bulgaria to Drop

ulgaria's State Commission for Energy and Water Regulation (DKEVR) will be able to change electricity prices more frequent than once a year, according to legal amendments approved by the parliamentary committee on economic policy, energy and tourism. Phot

Bulgaria's State Commission for Energy and Water Regulation (DKEVR) will be able to change electricity prices more frequent than once a year, according to legal amendments approved by the parliamentary committee on economic policy, energy and tourism.

Delyan Dobrev, outgoing Minister of Economy, Energy, and Tourism, who attended Tuesday's sitting of the Committee, pointed out that the amendments to Bulgaria's Energy Act had to include the spin-off of the Electricity System Operator from its parent, the National Electric Company (NEK), or else NEK would have to pay BGN 20 M in taxes.

Mihail Andonov, Executive Director of the Bulgarian Energy Holding (BEH), as cited by investor.bg, specified that if the Energy Act stipulated the spin-off of ESO from NEK, the transfer of shares would take place according to carrying value and no corporate tax would be levied.

The spin-off of ESO from NEK is part of the energy market liberalization plan in Bulgaria and if the country fails to implement it, it will face fines by the European Commission.

At the first reading of amendments to the Energy Act on Tuesday, the parliamentary committee on economic policy, energy and tourism approved the changes initiated by Martin Dimitrov from the right-wing Blue Coalition and Dian Chervenkondev from center-right party GERB.

The review of another set of legal amendments introduced by socialist MP Georgi Atanasov concerning heat distribution in condominium-project buildings was postponed.

A proposal for the creation of a public council at DKEVR of Yordan Tsonev from the ethnic Turkish Movement for Rights and Freedoms party (DPS) is to be drafted between the first and the second reading of the amendments.

According to reports of investor.bg, the second-reading vote may be held by the end of the day on Tuesday.

Tuesday's sitting of the parliamentary committee on economic policy made clear that the Energy Act amendments could be adopted on Wednesday.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!