BEMF proposes three urgent reforms to save the Maritza Iztok complex from bankruptcy

The Bulgarian Energy and Mining Forum (BEMF) in a number of its analyzes, media publications and forum reports has repeatedly expressed its concern about the condition of the coal-fired power plants in the Maritza Iztok complex. Today, the main problems stem from the delay of energy reforms and the practical blocking of the Bulgarian proposal of the capacity mechanism in the EC, which is not in line with the possibilities for rapid liberalization of the electricity market in our country. This is explained in their expert position by BEMF, which was sent to the media on Friday night.

"Practically, the development of the Maritza East complex is at a dead end, and the industry has no useful move, because without these facilities we cannot cover the winter peak loads. The approach for providing financial support from BEH for TPP Maritza East 2 for carbon payments is subject to review by the EC of state aid practices, and the EC's insistence on transparency shows that the approach to internal corporate relations is not accepted ", explain from the energy forum.

Urgent reforms in a short period of time are needed to save the complex from bankruptcy. Some of the possible solutions include:

1) Active participation of the country in the EU solidarity programs "Coal Regions in Transition" and implementation of special mechanisms of the "Recovery and Sustainable Development Plan", which in addition to opportunities for partial grant funding also offer know-how and contacts with investors and others financial instruments. The experience of other coal regions shows that the financing of the reclamation of coal soles and areas where coal mining is closed makes it possible to reduce the costs of coal mining companies and to ensure sustainable employment.

2) Assignment of technical and economic studies for smooth replacement in the period 2024-2028 of coal technologies with steam-gas modules, combustion of "green" fuel oil, RDF or biomass, and there are options for their initial mixing with coal in order to reduction of the amount of carbon emissions generated and a transitional stage in the closure of the mines.

3) In parallel with the above studies, the feasibility of installing a carbon capture and storage system must be carried out as a matter of urgency. In principle, these are very expensive investments and in view of the remaining limited resource of the facilities, the appropriateness of such an investment must be carefully determined.

We address here the responsible factors in the energy sector - politicians, energy workers, trade unions, NGOs and others with the call to join the country's growing popularity and supporters of the new European platform "Social first-then Climate". “). This must give confidence to all those working in coal mines and thermal power plants that they will not be left to the arbitrariness of the transition processes. A guarantee for this is the variety of forms and mechanisms for financing this transition, in which not only the EC but also all industrial and energy companies related to this industry have an active participation.

We are convinced that following the good practices and successful reform actions of other EU countries with coal-fired power plants, TPP "Maritsa East 2", TPP "Bobov Dol", as well as specialists from "Mini Maritsa East" and "Mini" Bobov Dol "can to be the basis of high-tech energy and industrial complexes with more jobs than now. These new complexes can and must retain their key role in the Bulgarian energy sector, as they have had so far.

However, this requires concrete actions, experience, knowledge and a lot, a lot of work to complete their position from BEMF.