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From Bulgaria

23.06.2014 15:57

Bulgarian Industry Calls for Cancellation of Electricity Tenders

The start of the regulatory period needs to be pushed forward to Aug 1, while tenders should not be allowed in the month prior to the beginning of the new period, BFIEC, BAMI and BIA said in an open letter

AUTHOR: publics.bg

© publics.bg

All electricity tenders should be cancelled and no tenders should be organized a month prior to the beginning of the new regulatory period on July 1. These urgent measures have been proposed by three Bulgarian industrial associations – the Bulgarian Federation of Industrial Energy Consumers (BFIEC), the Bulgarian Association of the Metallurgical Industry (BAMI) and the Bulgarian Industrial Association (BIA), in order to restore the state of equality between electricity export/import advantages for Bulgarian and foreign buyers.

In an open letter addressed to Bulgarian PM Plamen Oresharski and economy and energy minister Dragomir Stoinev, the three associations said that the start of the upcoming regulatory period for electricity needs to be pushed forward with a month, until Aug 1, so that these two conditions could be fulfilled. BFIEC have been vocal supporters of the termination of cross-subsidizing of lower residential electricity prices through higher tariffs.

“Electricity prices for industrial consumers are being artificially inflated with more than 10% despite the decreasing consumption”, BFIEC, BAMI and BIA said, adding that the Bulgarian state should end the preferences for electricity export.

Currently the price for electricity being exported from Bulgaria does not include an “Obligations to Society” component (generally replacing the green energy component in electricity bills in Bulgaria) and a transmission grid access fee. Following the removal of these components from export prices electricity export has been growing, thus giving an economic advantage to foreign companies, the three organisations argue.

BFIEC, BAMI and BIA called for the Bulgarian industry to be allowed to import electricity according to market conditions and without “an artificial limitation through electricity transmission infrastructure capacity”.