site.btaGas Price May Rise by More than 14% as of January 1

December 29 (BTA) - At an open-door meeting on Wednesday,
 the Energy and Water Regulatory Commission (EWRC) discussed a
report concerning a December 10 proposal by state-owned natural
gas company Bulgargaz about the price at which it will sell
natural gas to end-suppliers of gas and heating utilities. The
meeting was held partly online, partly in person.

Based on an analysis of Bulgargaz data and documents and after
calculations in accordance with the pricing model, the EWRC
report recommends the price of natural gas to become 117.12 leva
 per megawatt-hour (exclusive of access, transfer, excise duty
and VAT costs) as of January 1, 2022. The December 2021 price
approved by the regulator is 102.33 lv/MWh. This means that the
price may increase by a little over 14 per cent.

Bulgargaz Executive Director Nikolai Pavlov commented that the
price of natural gas on the Bulgarian market in January 2022 is
expected to be somewhat higher than proposed by the company
earlier on. An updated proposal to be submitted to the EWRC on
the morning of January 1 will take account of all relevant
changes which will have occurred between December 10 and 31,
Pavlov explained. He noted that gas prices on European markets
have increased. Oil products have appreciated too. "There is no
way we can keep down the gas price on the Bulgarian market
because the rates are dictated by factors outside the country
and Bulgargaz cannot help reckoning with them," Pavlov said.

He noted that despite the spike, Bulgargaz will continue to sell
 gas to its clients at considerably lower prices than those in
the region and in Europe.

The final decision on the gas price as of January 1, 2022 will
be made by the EWRC at a closed-door meeting on that date,
January 1, EWRC Chairman Ivan Ivanov said. RY/VE

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