site.btaNo Good Traders of Free Market Means Consumers May Not Have Lower Energy Prices - Expert

No Good Traders of Free Market Means Consumers May Not Have Lower Energy Prices - Expert

Sofia, February 25 (BTA) - The energy market in Bulgaria is
expected to be completely liberalized as of January 1, 2016,
which means that household users will also have to look for good
 electric power traders. If they don't, then there may not be
lower electricity prices than those on the regulated market,
State Energy and Water Regulatory Commission (SEWRC) member
Evgenia Haritonova told journalists Wednesday.

In fact, there have been no limits for anyone to come out on the
 free market since 2007, but conditions for that for household
users still do not exist. All high and medium voltage companies
are on the free market already, and there are already water
utilities on the free market, she commented.

Many traders have shown interest in becoming energy traders but
not all of them are interested in selling to household users. If
 household users fail to find traders, they will remain with the
 last-instance suppliers whose price is currently 171 leva/MWh,
to which the fees for transmission and access should be added,
and that price is not low, Haritonova said.

Taking a question how the state regulatory body will determine
the prices for household consumers as of July 1, 2015, since a
liberalization of the market is expected, Haritonova forecast
that they will probably be set down for a period of one more
regulatory year, but that will depend on the new SEWRC members.
Passage of the revisions to the Energy Act is expected to bring
in changes in both the structure and the membership of the
commission.

According to Haritonova, in spite of the amassed deficit
recorded in applications of power companies, electricity prices
will not rise by 20 per cent as current rumors say.

Commenting on the revisions to the Energy Act, Haritonova said
they will have to bring in new prices for the producers of
electricity from renewable energy sources, even for those who
have contracts in advance. Then again, heating utilities will be
 able to sell only their highly-effective electricity at
preferential prices. Electricity generation at the heating
utilities in Rousse, Sliven and Pernik is not highly effective
at the moment. Sofia's utility is not currently highly effective
 either, but because there are intentions to invest in new
capacity it will not be restricted, Haritonova said.