Bulgaria's energy watchdog KEVR has adopted a modest increase in gas prices as of January 01, 2017.

Starting from that date, the price per 1000 cubic meters should be BGN 280.21, or 5% higher than the current figure, the Energy and Water Regulatory Commission (KEVR) has proposed, according to StandartNews.

This goes against a proposal by the state gas supplier, Bulgargaz, which demands an increase of 13.53%, a move that would set the price at BGN 302.99.

There is "no ground" for such a sharp hike, KEVR has insisted after a workgroup meeting.

During the fourth quarter of this year, the price of gas is BGN 286.60 per 1000 cubic meters, a figure including a transit fee of BGN 19.73%.

Bulgargaz cited the higher natural gas prices, with Russian energy giant Gazprom (its main supplier) also increasing next quarter's delivery prices by 13.9% compared to the previous three months.

The Bulgarian currency (BGN)'s fall against the US dollar (USD) was another reason.

KEVR's proposal is expected to be discussed and possibly confirmed at a session open to the public on December 27.