Bulgaria Parlt Report Blames NEK Deficits on Deals with AES, ContourGlobal, RES

Business » ENERGY | July 30, 2015, Thursday // 22:06
Bulgaria: Bulgaria Parlt Report Blames NEK Deficits on Deals with AES, ContourGlobal, RES Valeri Simeonov (2-L), head of the ad hoc parliamentary commitee on the state of Bulgaria's energy sector, presents the report of the commitee in Sofia, 30 July 2015. Photo BGNES

Bulgaria’s long-term contracts for electricity purchases from two local coal-fired plants, owned by US-based AES Corporattion and ContourGlobal, and from renewable energy sources (RES) are at the core of the financial deficits at the National Electricity Company NEK, according to a parliamentary report unveiled on Thursday.

The report of the ad-hoc parliamentary committee set up to evaluate the state of Bulgaria’s energy sector was presented by the chairman of the committee Valeri Simeonov.

Simeonov, a MP from nationalist Patrotic Front formation, said the report was drafted with the help of energy expert Stefan Gamizov.

Simeonov has earlier submitted draft legislation also prepared by Gamizov seeking the cancellation of Bulgaria’s power purchase agreements with the two thermal power plants AES Maritza East 1 and ContourGlobal Maritsa East 3, 3e-news.net noted in its coverage of the news.

According to Simeonov, the power purchases from the two power plants account for 40% of the electricity traded on the regulated market. In addition, the authors of the report claim that the price paid by NEK for the electricity generated at the two plants is high and runs counter to market principles.

While those conclusions could be disputed by other experts, they in fact form a basis for seeking the cancellation of the long-term contracts with AES Maritza East 1 and Contour Global Maritsa East 3, according to 3e-news.net.


We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!

Energy » Be a reporter: Write and send your article
Tags: Gamizov, Simeonov, ContourGlobal Maritsa East 3, AES Maritza East,  NEK Bulgaria
Expats.bg All Are Welcome! Join Now!
Bulgaria news Novinite.com (Sofia News Agency - www.sofianewsagency.com) is unique with being a real time news provider in English that informs its readers about the latest Bulgarian news. The editorial staff also publishes a daily online newspaper "Sofia Morning News." Novinite.com (Sofia News Agency - www.sofianewsagency.com) and Sofia Morning News publish the latest economic, political and cultural news that take place in Bulgaria. Foreign media analysis on Bulgaria and World News in Brief are also part of the web site and the online newspaper. News Bulgaria