A diplomatic cable of the US embassy in Sofia, dated October 2, 2008, has been revealed on WikiLeaks, focusing on Bulgaria's energy dependence from Russia.

The cable was provided to the Bulgarian partner of WikiLeaks - the project for investigative journalism www.bivol.bg. The text has also been published at the Balkanleaks site, an analogue of WikiLeaks.

The report titled "BULGARIA AND THE ENERGY KNOT: SCENESETTER FOR OCT 7 VISIT OF SPE GRAY," has been sent by then US Ambassador in Sofia, Nancy McEldowney to Boyden Grey, at the time Special Envoy for European Affairs and Special Envoy for Eurasian Energy at the Mission of the United States to the European Union, ahead of his visit to Bulgaria.

The cable has been also sent to the US Departments of Commerce and Energy, to the National Security Council, and the CIA.

In it, the Ambassador wittingly describes the relations between Bulgaria and the powerful Russian players almost as a porno scene where Bulgaria is presented as "passionately eager in bed with the muscle bound duo of Gazprom and Lukoil."

McEldowney, however, does not miss to point out that this "is a tryst driven less by passion and more by a perceived lack of options."

The energy dependency of Bulgaria is called acute with the fact that "with few hydrocarbons of its own, Bulgaria relies on Russia for seventy percent of its total energy needs and over ninety percent of its gas." On the backdrop, "the EU's decision to force closure of blocks 3 and 4 of the communist-era nuclear plant Kozluduy cost the Bulgarian economy over USD 1.4 B and put a squeeze on Serbia, Macedonia and Greece, who had purchased the bulk of the exports," the Ambassador writes.

The report also stresses on the direct pressure exerted by Russian Prime Minister, Vladimir Putin on both the Bulgarian President and PM with energy projects where PM Sergey Stanishev had personally complained to the Americans about the Russian "blackmail," while the now former Energy Minister Dimitrov had complained openly of "psychological warfare."

The cable describes the January visit of Putin to Sofia when the South Stream Intergovernmental Agreement was signed, and reveals Grey's visit is on the request of the Bulgarian side, which had asked for advice in organizing an energy summit in April 2009 with Putin's promised attendance.

"The hard reality of today's energy picture is that Russia is not only the dominant supplier, it is also the dominant player -- your visit here is the first by a senior U.S. energy official in a year, whereas Putin has personally engaged both the President and Prime Minister on energy issues in multiple sessions over the past ten months," McEldwoney explains.

In preparation for the visit, the Ambassador further makes a detailed overview of the state of the Bulgarian energy sector and of the biggest energy projects: the South Stream and Nabucco gas pipelines, the Burgas-Alexandroupolis oil pipeline, the interconnectors, and the Belene nuclear power plant.

The US Ambassador also offers details about the main Bulgarian figures Grey is about to meet: President Parvanov, who has close ties to Russian politicians and held no less than eight meetings with Vladimir Putin in the last seven years; ex Prime Minister Sergey Stanishev is described as a 42-year-old progressive Socialist, who is pro-west and eager to have Bulgaria viewed as a good friend and partner of the United States and understands that Bulgaria is overly dependent on Russian energy sources, but sees few options for greater energy independence; former Foreign Minister Kalfin is said to be close to both Stanishev and Parvanov, a strong supporter of close Bulgarian-US relations and is highly conversant on energy issues; Economy and Energy Minister Petar Dimitrov is largely seen as taking direction on energy matters from former Energy Minister Rumen Ovcharov, who is linked with Russian energy interests and left office in June 2007 after a corruption scandal.

McEldowney recommends that Grey's visit focuses on a long-term energy strategy not solely based on the transit of hydrocarbons or the production of Russian-based nuclear energy, but on the development of renewables, clean coal and greater energy efficiency.

"With the price of energy at near record highs, Russia's hydrocarbon-generated wealth is increasingly circulating through the Bulgarian economy, making Bulgaria all the more susceptible to Russian leverage," the Ambassador writes.

"An energy strategy that focuses on renewables and efficiency is one tool Bulgaria can use to put a noticeable dent in negative Russian influence.  The other tool is transparency.  Hub status in any industry is bestowed only on places which offer transparent, efficient service.  To achieve its goal of becoming a true energy center, we should recommend that Bulgaria present itself not as the place with closest ties to Russia, but as the most transparent place to do energy deals," the cable concludes.

The full text of the cable read HERE and HERE.

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