site.btaTourism Minister: Businesses Will Be Compensated in October for High Electricity Prices in August and September

In October, businesses will be compensated for the high electricity prices in August and September, Caretaker Tourism Minister Evtim Miloshev told bTV on Sunday.

He described the compensation measure as timely and recalled that the state will pay compensation for the period from July 1 to the end of 2024.

More than 633,000 non-domestic customers in Bulgaria will be able to benefit from 100% compensation for electricity prices above BGN 180 per megawatt-hour, following approval by the European Commission.  A total of BGN 245 million has been provided by the government to compensate businesses for high electricity prices.

Under the programme, non-domestic end customers will be compensated on a monthly basis. The funds will be paid no later than March 31, 2025.

Earlier in September, organizations representing the tourism industry insisted in an open letter addressed to the caretaker ministers of finance Lyudmila Petkova and energy Vladimir Malinov for immediate payment of the compensation for the expensive electricity.

In early September, caretaker Deputy Energy Minister Iva Petrova told Parliament that Bulgaria was awaiting a positive opinion from the European Commission that the payment of the funds under the programme to compensate non-household end-users for electricity costs for the period from July 1, 2024 to December 31, 2024 was not state aid. 

At the end of July, Parliament instructed the Council of Ministers to adopt within seven days a Programme for the provision of compensation related to electricity prices to non-household final customers for the period July 1 to December 31, 2024 and subject to state aid rules. 

Miloshev noted that the possible retention of the 9% VAT rate for next year is a matter of legislative initiative. The Tourism Minister stands firmly behind having a differentiated rate in tourism, especially for sports facilities, Miloshev said. According to him, at a meeting with the representatives of Bulgarian ski resorts, all industry representatives have stated that Bulgaria's ski facility tariff card is uncompetitive. In Alpine countries everywhere this rate is differentiated, the caretaker tourism minister noted. 

It is imperative that the 9% VAT on skiing services and access to sports facilities is maintained, which will not be possible without government support. This was said by the CEO of Pamporovo AD Marian Belyakov to journalists after the end of the meeting of the Parliamentary Committee on Tourism in Borovets resort on September 24.

Asked about the situation in the Middle East, Miloshev said that air evacuation was provided for all Bulgarian citizens who requested it. He added that the option of ground evacuation was also discussed.