Financial and business news from Bulgaria

Great news about the bills paid by all Bulgarians after the cost of gas

Approximately 20 per cent of the amount we paid on our old heating bills should return us the heating companies because of the reduction in the price of natural gas, writes Trud bg.
The Energy and Water Regulatory Commission will calculate exactly how much the price of gas will be reduced from August 5 to the end of March.

Bulgargaz CEO announced that the reduction will not be the same for all months.

Borisov with great news for Bulgaria from Russia on the National Holiday

“In some months the reduction will be 35%, in others - 25%, depending on the dynamics of the market and the quotes”, he commented. 70 percent of the cost of thermal energy is determined by the price of gas.

Thus, from the beginning of the heating season — from October to the end of March, the average reduction in gas costs will be by 30 per cent. Or accounts show that this will affect by nearly 21 per cent on the final heating bill.

It is only right and fair that Bulgargaz will reimburse its customers and the chain to be reimbursed to the end user.

The alignment of energy bills, however, is not within the competence of the company, but of the regulator, explained Nikolay Pavlov.

From April 1, the price of heating will be reduced by 40.3 per cent.

Bulgargaz will offer in its application to the regulator — the Energy and Water Regulatory Commission.

With this reduction, the price of heating in Sofia should fall by 27% from April 1st, Elenko Bozhkov, a former member of the Energy and Water Regulatory Commission, told Trud.

For other cities, the reduction should be about 20 per cent. The difference is due to the different technology that is used in different heat heaters, he explained.

Cheaper gas should also affect electricity bills by reducing the “Obligation to society” fee. For household users who consume about 300 megawatt hours per month, the bill reduction will be about 1-2 leva, Bozhkov calculated.

For business, however, the reduction will be serious, added the expert.

We will be renegotiating the price of supplies from Azerbaijan

Nikolay Pavlov

Bulgaria will start renegotiating the price and the Azeri gas, the import of which should start from October this year. This was announced by the Executive Director of Bulgargaz Nikolay Pavlov.

“The agreed price for gas supplies from Azerbaijan is now higher, but there is already a reason for its renegotiation”, Pavlov said.

At the moment, the contract for gas supply from Azerbaijan is tied to the price of oil derivatives and fuel will be more expensive even than Russian imports, and Bulgaria will want to tie prices with those on gas exchanges.

The contract for imports of 1 billion cubic metres of Azeri gas was concluded by Bulgargaz in September 2013. Deliveries were due to start from 2019, but construction of TANAP pipelines through Turkey and TAP via Greece and Albania has been delayed to connect the Shah Deniz II field with Europe.