The Bulgarian Energy Holding (BEH) will present Tuesday the possible launch date and the mechanism of functioning of the Bulgarian energy exchange.

One of the reasons behind the delay of the Bulgarian energy exchange is the striving to protect local electricity producers and the external electricity market, according to experts in the sphere, as cited by the Bulgarian National Radio.

However, experts were divided in their opinion on the impact of the electricity exchange on electricity prices.

Martin Vladimirov from the Center for the Study of Democracy (CSD) NGO suggested that businesses in Bulgaria were enjoying artificially low prices which could increase after the opening of the market.

“Upon the opening of the electricity exchange the Bulgarian and the Greek exchanges will gradually link up, thereby freeing up electricity flows in both directions and possibly causing the price of electricity for businesses in Bulgaria to increase,” he stated.

Anton Ivanov from the Bulgarian Energy and Mining Forum argued that the opening of the market would not necessarily lead to price hikes.

“The electricity exchange provides an opportunity for a union with neighboring markets. However, this union will not start functioning automatically. It is subject to special regimes of specification of the volumes of electricity traded on the respective exchange. Why talk about a Greek market and a Greek exchange? A union may be sought with markets up north, where energy costs less. That is to say, this will be a matter of choice,” he noted.