Expert Predicts 'Season of Scarcity' for Bulgarian Heating UtilitiesEnergy | July 29, 2013, Monday // 17:02| views
Photo by BGNES
The upcoming heating season will be a season of scarcity for heating utilities, according to Valentin Terziyski, Deputy Chair of the Association of Heating Utilities in Bulgaria.
In a Monday interview for the Focus news agency, he commented on the new electricity pricing model, assuring that any steps of the heating utilities would be taken with a view to guarantee normal supplies to end consumers.
Bulgaria's Energy and Water Regulatory Commission (DKEVR) is to adopt Monday a final decision on electricity prices as of August 1.
The proposed new pricing model allows for a decrease by up to 5% in electricity prices over the next 12 months, according to reports of dnevnik.bg.
Households and low voltage business customers will see their daytime electricity tariffs drop by an average 4.4%, while the nighttime energy tariff will drop by around 4.5%.
Sofia and Western Bulgaria will have the lowest electricity prices, while northeastern Bulgaria will have slightly higher tariffs.
In his Monday interview, Terziyski defined the new electricity pricing model as a restrictive approach to price regulation adopted solely for political purposes.
Regarding the heating season next year, he pointed out that a part of the heating utilities had embarked on fuel diversification initiatives and were trying to break free from the "total, 100% regulation of natural gas prices, as well as the prices of electricity and heating ."
"The market behavior of the heating utilities will also change in order to allow them to keep their customers," he added.
He added that the new electricity pricing model would not require an increase in heating tariffs for end consumers at the current stage.
Terziyski made clear that heating rates were expected to either remain unchanged or to drop "with a view to the social tolerability of heating prices."
He called on the state and the State Energy and Water Regulatory Commission (DKEVR) to acknowledge that it was not the price paid by a certain customer that was decisive but the incomes of all people in the country.
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