In the extremely tense days before July 1, when the new regulatory framework for the Bulgarian energy sector is to be ready, from Brussels came a piece of news that will surely sooth the already distressed experts of the State Energy and Water Regulatory Commission. Last week the EP rejected the proposal of the European Commission to freeze part of trading allowances for greenhouse gas emissions in order to raise the price of permits for pollutants in the Community. The majority of the deputies considered that the interference with the supply of allowances will reduce confidence in the now functioning trading scheme of emissions.
I deeply regret the voting today. This is the beginning of the decline of climate policies. We are giving thus weapons in the hands of environment skeptics. The cancellation of the proposal weakens emissions trading in the EU and sets our climate goals at risk, said rapporteur on the issue Matthias Groote. Opponents of the proposed measure, however, quite reasonably argued that the increase in the price of carbon will imbalance the competitiveness of European industry and will affect the energy bills of the people.
In such a delicate situation is at the moment also the Bulgarian regulator. As of July 1 it should set new prices of the electricity plants in the country produce, notably for coal plants that have to be included in these carbon credits. By the documents posted on the regulatorrquote s website it turns out that the TPPs have asked for some of the highest rises. The state-owned Maritsa East II insists on a 18.3 percent increase in the price of energy produced and on 15.91 percent of the cost for availability. In the same time, TPP Varna wants a 16 percent increase for electricity and 66.51 percent of availability, Bobov Dol – 14.54 percent for produced energy and 13.47 percent for availability, while Maritsa East III asks for 5.90 percent and 11.61 percent respectively. NPP Kozloduy has also filed a request for a price increase of energy with 6.54 percent as well as a price hike for availability of 22.78 percent.
That’s not all. National Electricity Company and the system operator believe that the transmission price should jump by 27.98 percent, while the prices for access endash by 61.73 percent. However, the most striking is the increase in the allowance for green energy – by 176.94 percent (from 11.1 levs to 30.74 levs per MWh).
Now come also the demands of EDCs. CEZ is insisting on a price of access to the network that should grow by 16.71 percent for industrial consumers and by 11.09 percent – for households. The proposed increase for the transmission of energy in the medium-voltage grid is 19.71 percent and 22.13 percent for the low voltage. Representatives of EVN said growth in the access fee with 59.39 percent for the businesses and 74.16 percent for the households is something they expect, while the charge for transfer is to grow by 1.46 percent for medium-voltage grid and 25.33 percent for the low-voltage one. The request submitted by Energo-Pro is for an increase in the price for access to all subscribers by 35.03 percent, a price appreciation for transmission in the medium-voltage grid – by 33.76 percent, while for the low-voltage one the request is for a hike of 40.86 percent.
It is clear that these prices simply cannot be approved by the regulator. Because if that happens, the next government, whoever it may be formed from, will have to subscribe its resignation for the time when the cold months of 2013 come. Last week, the chairman of the regulator Eugenia Haritonova commented that the green supplement in the price mix may need to be hiked, although they seek reserves to maintain current prices. Similar was the view of the Minister of Economy, Energy and Tourism Assen Vassilev. Now the Brussels decision will allow for certain maneuvers, especially for the prices of TPPs. Which will affect the remaining price rising claims, of course.
