Power Distributor Energo-Pro Also Takes Bulgaria to Court

Business » ENERGY | March 26, 2014, Wednesday // 14:47| Views: 1329 | Comments: 0
  • Send to Kindle
Bulgaria: Power Distributor Energo-Pro Also Takes Bulgaria to Court Photo by BGNES

Energo-Pro has become the second power distributor to sue Bulgaria at the World Bank's arbitrary court.

The Czech company has announced that it has lodged a claim with the International Center of Settlement of Investment Disputes, which could be launched in case of failed arbitration, Energo-Pro's sources have informed Bulgarian newspaper Trud.

Last year, EVN, which provides electricity to the south of Bulgaria, also filed a case at the World Bank's court.

Legal action comes Bulgaria's energy watchdog DKEVR announced on March 19 it would suspend all three power distributors' permits over unpaid debts to the state-owned National Electricity Company (NEK).

The State Commission for Energy and Water Regulation (what DKEVR stands for) has cited "threats to energy security" as a reason.

It claims that debts to be covered by the power distributors are worth BGN 350 M (EUR 175 M).

The companies, however, refute allegations of any liabilities to NEK, explaining that NEK actually owes them compensations for uncollected renewable energy taxes.

Power distributors now have a 7-day deadline (until Friday) to make payments if they wish to keep their licenses.

Economy Minister Dragomir Stoynev announced earlier on Wednesday that NEK has not received anything from the distributors.

The three power distributors have not yet come up with official statements on their plans by the end of the week.

On Tuesday, EVN said it was planning to sue Bulgaria for EUR 1 B over the threat to "nationalize" its business.

Energy » Be a reporter: Write and send your article
Tags: Energo-Pro, EVN, DKEVR, National Electricity Company (NEK), NEK, Dragomir Stoynev
Expats.bg All Are Welcome! Join Now!

Leave a comment