EU Accepts Bulgaria's Commitment to Liberalize Wholesale Power Market

Business » ENERGY | December 10, 2015, Thursday // 17:18
Bulgaria: EU Accepts Bulgaria's Commitment to Liberalize Wholesale Power Market EU Commissioner in charge of competition policy Margrethe Vestager. File photo EPA/BGNES

The European Commission has decided to render legally binding the commitments offered by the Bulgarian Energy Holding (BEH) to end competition restrictions on the country’s wholesale electricity market.

The Commission had concerns that BEH may have abused its dominant position on the market for the wholesale supply of electricity at freely negotiated prices, in breach of EU antitrust rules. In particular, the Commission investigated clauses in electricity supply contracts concluded between BEH's production units and third parties, such as traders, that impose restrictions on where these third parties could resell the electricity bought from BEH.

To address the Commission's concerns, BEH has committed to offer certain volumes of electricity on an independently-operated day-ahead power exchange in Bulgaria. The state-owned company will set up the power exchange with the assistance of an independent third party with expertise in the area, and transfer control of the ownership of the exchange to the Bulgarian Ministry of Finance.

These measures will ensure the independence of the power exchange, the Commission said in a news release on Thursday.

EU competition commissioner Margrethe Vestager, commented: "Territorial restrictions that divide energy markets along national lines prevent us from achieving a true European Energy Union. Today's decision will end these restrictions in Bulgaria and make the Bulgarian wholesale electricity market more open and transparent.” 




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

Energy » Be a reporter: Write and send your article
Tags: Bulgaria, EU, European Commission, power, electricity, Exchange, BEH, Vestager

Bulgaria news (Sofia News Agency - 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." (Sofia News Agency - 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