site.btaBulgarian Electricity System Is in Very Good Condition, but Needs Development of Its Transmission Capacity

The Bulgarian electricity system is in a very good condition and has a significant capacity for energy transmission, but we need to make more efforts to develop it, said Angelin Tsachev, CEO of the Electricity System Operator (ESO) during his participation in the Green Transition Forum 4.0. BTA is a media partner of the forum.

No one expected that renewable energy projects would develop so fast - they are outpacing the development opportunities of the electricity transmission grid. Without the development of transmission and distribution networks, there can be no change in the energy mix, Tsachev said. Grid development was underestimated until recently, a lot of money was directed to new generation capacities, but without a developed grid we cannot take advantage of new technologies and see the effect of these technologies, Tsachev said.

Recently, attention has focused on distribution networks. ESO is involved in EU projects for network development and are trying to use all EU funds. On Tuesday, the news came that the first financing from the European Investment Bank (EIB) for a project to switch the electricity grid from 220 kilovolts to 400 kilovolts has been confirmed. The first tranche of the project is EUR 65 million, the ESO director said.

Kiril Ravnachki, CEO of Bulgartransgaz EAD, told the forum that the goal of energy suppliers is to have a secure supply of sustainable energy at affordable prices. A balanced energy mix and a sustainable infrastructure are needed to have secure supplies for different types of customers, Ravnachki added. Natural gas plays an important role in balancing the energy mix. The company is actively developing the gas transmission network, and there are expansion projects for neighbouring countries as well as for certain territories in Bulgaria. On the territory of the country, two municipalities have already gained access to natural gas in the construction of Bulgaria's gas connection with Serbia, Ravnachki said.

Teodora Georgieva, CEO of the independent transmission operator ICGB, pointed out that one billion cubic metres of Azeri gas passes through the company, with the infrastructure allowing the transmission of 3.3 billion cubic metres. “We ensured energy security and diversification of the source in 2022, when Russia launched a war against Ukraine. Not only did we contribute to access to gas, but it was also competitively priced. We were ready to transport gas to Ukraine and Moldova,” Georgieva said.

“We have synergies with the liquefied gas terminals in Greece and especially the one in Alexandroupolis. We will reach our capacity of 3.3 billion cubic metres of natural gas per year quite quickly. We are also offering additional capacity to our neighbours, and this in the context of high competition from operators in other countries in the region. To have an advantage, it is important that we obtain additional financing and secure the capacity to supply natural gas to Moldova and Ukraine,” the ICGB CEO said.

Ivan Velev, portfolio manager of ACT, said their company has been working here for five years. “We suggest the Bulgarian authorities to broaden the scope of the guarantees of origin of energy, not to limit them only to renewable energy sources, but also to nuclear energy,” Velev said, adding that Bulgaria does not have such a product, but other countries with nuclear reactors do. 

Petar Fildishev, Head of Gas Trading and Operations at MET Energy Trading Bulgaria, said that energy efficiency is based on three things - maximum use of any energy generated, minimum losses in energy transport and consistency between production and consumption. Transportation losses are visible in RES because the use of energy is much closer to the producer, said Fildishev. 

“There are other battery energy storage technologies that are being talked about so much now. It can be stored not only as electricity, but also as natural gas or as thermal energy,” Fildishev said.

The end of oil is not so close yet, said Svetoslav Benchev, Chairman of the Board of the Bulgarian Petroleum and Gas Association. “We have never opposed the green transition. However, we see that all things are being done rather quickly, without the industry, and this gives people the impression that money is being given without result. The world is much less interested in the Green Transition. The EU has reduced the number of refineries from 110 to just over 80, while other economies of the world have kept them,” he added. 

Electric cars are part of the future, but let there be technological neutrality, Benchev said. In Norway, more than 70% of new car sales in the last four years have been electric models. Half of the cars there are now electric, but this has led to a drop in fossil fuel use of only 5%. The reason is that all heavy-duty vehicles use fossil fuel.