site.btaABV Party Insists that State Take Measures to Break Agreement with Maritsa East 1, 3

105 ECONOMY - TPPs - ABV PARTY - OPINION

ABV Party Insists that
State Take Measures to
Break Agreement with Maritsa East 1, 3


Sofia, October 18 (BTA) - The Maritsa East 2 State-owned company is placed at a disadvantage compared to the privately owned Maritsa East 1 and 3 thermal power plants, ABV leader Roumen Petkov told the media in Stara Zagora (South Central Bulgaria) on Wednesday, as quoted by the party's press office. ABV insists that the State take all necessary measures to break the agreement with the two US-owned TPPs and seek the European Commission's support to overcome the state aid provided to them. The party also calls for a strategy for Maritsa East 2 because the situation with the plant is alarming, Petkov said.

According to Petkov, there are two reasons for Maritsa East 2's disadvantaged position. Firstly, the State pays for the greenhouse gas emission allowances of Maritsa East 1 and 3, which constitutes state aid for the US-owned power plants, while the State-owned TPP pays for its own emissions. "I do not understand why, particularly after 2007 when we joined the EU, no measures have been taken through the European Commission to break this agreement," Petkov said. He thinks one of the reasons for the topic to be neglected is the ownership of Maritsa East 1 and 3.

The second reason is that Bulgarians, as a society, are paying the investments in the two US power plants, Petkov went on to say. He described the prices Bulgaria pays for greenhouse gas emission allowances as dramatic. In his words, in 2016 the price per ton was 5.5 euro, VAT excluded, and in 2017 the Bulgarian Energy Holding (BEH) purchased a ton for 13.8 euro. Now the price is 22 euro, and next year the experts estimate it will be between 25 and 30 euro per ton, VAT excluded. Under Bulgarian legislation, BEH sells the emission allowances to Maritsa East 2 with VAT included, Petkov specified. Once the emission allowances for next year are purchased, the debts of the State-owned TPP are expected to exceed 1,200,000,000 leva, and these facts force the plant to shrink its production, he argued.

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