Bulgaria Delays Household Electricity Liberalization Amid Price Concerns

Society | May 7, 2025, Wednesday // 15:26
Bulgaria: Bulgaria Delays Household Electricity Liberalization Amid Price Concerns

Lawmakers in Bulgaria have decided to delay the liberalization of household electricity prices through amendments to the Energy Act. The exact length of the postponement – either two or five years – will be determined before the second reading in the plenary session. The BSP-United Left is advocating for a two-year delay, while "There Is Such a People" (TISP) is pushing for a five-year postponement.

The government's rationale for delaying the liberalization is to shield households from potential price spikes in the open market. This decision has been coordinated with the European Commission, aligning Bulgaria’s approach with broader EU energy policies.

Energy Minister Zhecho Stankov announced that from July 1, the method for setting household electricity prices will change. Energy companies will start procuring electricity through the Bulgarian Independent Energy Exchange. However, a mechanism will be in place to stabilize prices for households. Unlike the previous system regulated by the Energy and Water Regulatory Commission (EWRC), the new approach will involve a report prepared by the EWRC and submitted to the Council of Ministers.

The difference between the market price and the fixed consumer price will be covered by the “Security of the Electricity System” fund. This measure is intended to mitigate the impact of market fluctuations on households while gradually moving toward market liberalization.

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Tags: electricity, Bulgaria, price, liberalization

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