Financial and business news from Bulgaria

The current on the exchange plummeted to 1.48 st.

Prices fall since March 9, the day after in Bulgaria
was discovered the first patient from COVID-19

1.48 st. per kilowatt-hour was the price of electricity on Sunday on the platform “Day Ahead” of the Bulgarian Independent Energy Exchange. Within the same day for March 22, electricity reached 1.27 st. Usually on Sundays, prices are at their lowest, but there has been no such collapse.

For Monday, the lowest prices of “Day ahead” are at 3 o'clock in the morning - 1.75 st. per kilowatt-hour, at 5 o'clock in the morning - 1.69 lv. The average cost of peak energy - from 9 to 20 pm, is 4.47 st.

The drop in prices on the exchange starts from 9 March - the day after the first person who had a coronavirus disease was found in Bulgaria. Then the price was 8.75 st., on March 10 it fell to 5.02. In the days ahead, there is some uptick to come to current quotes after a state of emergency was declared.

Because of it, restaurants and cafes were closed, as well as shopping malls. Part of businesses also reduced the volumes of goods produced. This has led to a surplus of electricity, which traders are trying to sell through the “Day Ahead” platform, but there is no demand.

Bulgaria is no exception to trends across Europe. Prices are falling in all countries, and in Germany, the Czech Republic and Slovakia, for example, there have been offers with negative prices for Sunday.

March, April and May are usually the months with low electricity prices, as consumption falls after the end of the heating season and the active tourist has not yet come. This year, however, is not the case - the average price of the exchange since the beginning of March is about 5.8 st. per kilowatt-hour, while for January and February it was almost twice as high.

Last week, when the emergency situation was already in place, the price was between 5.5 and 6 st.

For businesses, low prices are welcome as the cost of their production falls significantly. But that's not the way things are about energy and power plants. In Kozloduy NPP, for example, which produces the cheapest current, the cost is about 5 st per kilowatt-hour. If the low quotes remain long, the plant will suffer losses. Similar is the situation with other electricity producers.


Related news