New Bulgaria Govt Quits Plan to Shutdown Bulgaria Energy Holding

Energy | November 3, 2009, Tuesday

Traikov concluded that Bulgaria has enough gas in the Chiren gas storage facility to cover itself for a reasonably long gas crisis should one arise this winter. Photo by BGNES

Bulgaria Energy Minister, Traicho Traikov, has stated that the Bulgarian Energy Holding (BEH) will remain in existence but not “necessarily with the same appearance.”

Traikov, speaking after meeting business leaders in Sofia, said that one of the things that the new center-right GERB government may do is to re-structure the Holding. He added that it is likely that there will be changes in one of the BEH’s Group, the National Electric Company (NEK).

The desicion to keep the BEH in existence is a dramatic turnaround since late August and September when Bulgaria PM Boyko Borisov said "The Bulgarian Energy Holding will be shut down as this is a structure that nobody needs."

In his words in August the mega structure, which was set up in September last year by the previous Socialist-led government, would cease to exist "in a week or two".

According to Energy, Economy and Tourism Minister Traikov, the role of a new electricity system operator may from the basis of NEK itself. Traikov concluded that Bulgaria has enough gas in the Chiren gas storage facility to cover itself for a reasonably long gas crisis should one arise this winter.

The companies that make up Bulgarian Energy Holding Group announced profits of BGN 331 M for the first nine months of 2009.

This is some BGN 144,6 M more than for the same period last year. Growth in earnings during September increased by BGN 22 M. At the end of August, BEH had reported a profit of BGN 309 M.