COMPENSATIONS FOR THE INDUSTRY DUE TO THE HIGH PRICES OF ELECTRICITY CONTINUE IN 2022

Compensation for industry due to high energy prices will continue in the first quarter of 2022. This is regulated in a decision of the Council of Ministers, taken at today's meeting, which approved a program to compensate non-residential end customers of electricity.

The adoption of the program aims to maintain the competitiveness of the industry and overcome the additional inflationary pressures caused by high electricity prices.

Compensation to industry will continue to be provided on the basis of the amount of active electricity on which the "public debt" price is charged, with a fixed amount for each megawatt-hour of electricity used for each month, excluding VAT. The amount of the envisaged support will be calculated as 75% of the difference for the respective month between the real average monthly stock exchange price of the IBEX day-ahead segment and the base price of BGN 185.59 per mWh (average base load price, IBEX day-ahead market for July 2021), but not more than BGN 250 per mWh. Compensation for customers with prices below the base is not provided.

The budget of the program amounts to a total of BGN 235 million for the month of January. The compensations will be paid by 30 April 2022. It is part of the whole package of measures approved by the government to compensate the industry and household in connection with the high growth of electricity and natural gas prices, amounting to BGN 1.5 billion.