17.12.2021

The moratorium on the prices of electricity, heating and water, voted by the National Assembly, is dangerous and, according to lawyers, illegal. This was commented by the President of the Bulgarian Industrial Association Dobri Mitrev and the executive director of the Bulgarian Industrial Capital Association Dobrin Ivanov.

According to them, such a decision threatens market principles and sends a clear signal that government intervention could take place in other sectors.

According to Dobri Mitrev, the activity of the EWRC in this part should happen through amendments to the Energy Act.

He is adamant that the extremely high prices of electricity on the free market are detrimental to business, and employers expect that an adequate compensation mechanism will be developed.

Mitrev stressed that according to BIA calculations, the real price that businesses pay per megawatt hour should not exceed BGN 200.

According to Ivanov, the moratorium puts at risk the existence of the electricity distribution companies, the Electricity System Operator, the Water and Sewerage Company and the district heating companies.

Both expressed the opinion that bankruptcies of companies are expected, and those who do not go bankrupt will calculate their higher bills in the final prices of the goods and services they offer.

Date: 17.12.2021

Source: Bulgarian Industrial Association

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