Valentin Nikolov: Without a functioning Parliament there will be no way to continue the liberalization of the wholesale market from July 1

Energy / Bulgaria
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The wholesale market liberalization enshrined in the Energy Act of 1 July 2021 will not work without parliament. This was stated by the executive director of the Bulgarian Energy Holding Valentin Nikolov to FOCUS Radio. He confirmed that there are difficulties arising from the new European policy regarding the Green Deal related to a low-emission economy, because the energy sector needs to be restructured, which requires effort, financial and legislative resources.

"All these things, including this EU policy, on the other hand, are giving rise to an increase in instruments to encourage countries to make appropriate reforms. These are the carbon emissions that have risen above 50 euros, which gives a problem for the company to survive and work fully. I mean TPP "Maritsa East 2", Nikolov commented.

On the other hand, TPP Maritsa East 1 and 3 have their respective contracts with NEK, which is also obliged to purchase such carbon emissions. This puts a lot of pressure on the holding. But otherwise BEH is not at a loss. On the contrary, I would say it is profitable. The consolidated financial statements will be published soon, as required by law, ie. we will not wait for the last day of the deadline for its publication, so it will be published ", explained Valentin Nikolov. He also recalled Fitch's announcement that it had raised BEH's credit rating, which in turn had contributed to a new bond loan of 500m euros. BGN 1 billion.

Nikolov also explained that part of the debts that the holding distributes go to the distribution of liabilities and was adamant that measures should be taken to clarify the program under which these companies will be restructured to meet the new challenges. .

We are in a pre-election period, when there is no working parliament, Nikolov reminded some of the problems. He expressed hope that after the July 11th elections, there will be a new functioning government to complete the wholesale market liberalization enshrined in the Energy Act. According to him, now is the time to lay the foundations of an economy and energy based on zero-emission electricity.



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