Energy Minister Presents Cabinet's Priorities in Energy Sector at Forum in Sofia

Dimitrina Solakova, Delyan Petrishki

Energy Minister Zhecho Stankov at a Sofia forum titled "Bulgaria Business Summit 2025: The Challenges Facing Bulgaria", February 5, 2025 (BTA Photo/Blagoy Kirilov)

Sofia,

05.02.2025 16:31

(BTA)

The Bulgarian Energy Holding (BEH) is financially sound and the companies in its structure - the Electricity System Operator (ESO), the Kozloduy Nuclear Power Plant, and the National Electricity Company (NEK) - will reinvest their profits in Bulgaria for the development of the country's energy sector, said Energy Minister Zhecho Stankov here on Wednesday. He was speaking at a Sofia forum titled "Bulgaria Business Summit 2025: The Challenges Facing Bulgaria", which is part of the Economist Impact series of events held by The Economist.

Stankov identified security of energy supply as one of the priorities of the current management and composition of the Ministry of Energy. In this regard, he stressed the importance of the Vertical Gas Corridor, defining it as a strategic project for both Bulgaria and Europe. Here, the increase of gas transmission capacity at the Bulgarian-Greek and Bulgarian-Romanian borders is also relevant, he added.

Another focus of his statement was the electricity sector. Stankov drew particular attention to the importance of the ESO. Against the background of the investments being made, Minister Stankov said that ESO is financially sound.

"The best energy is the energy produced on our territory," the Minister said, recalling the decision taken by the previous National Assembly to build two new units on the Kozloduy NPP site with Westinghouse technology. The project processes are going well, Stankov noted.

He identified the area around Kozloduy NPP as the most suitable place for the development of artificial intelligence and data centres. This is in terms of energy and supply security and the principle of generating electricity where it is needed. This is why the Ministry of Energy is considering a roadshow to present to investors the opportunities that Bulgaria provides in building for data centres, Stankov told the forum

He also talked about decarbonisation, defining it as a key pillar in the priorities of the current government. "The Bulgarian energy system is currently one of the most well-balanced, because we have in the energy mix nuclear energy, hydropower plants and electricity generated from renewable energy sources, where the increase is 50% of the electricity generated," Minister Stankov said, announcing that he had received assurances from the NEK management that two of the three units of the Chaira pumped-storage hydropower plant would be operational by the end of the year.

On the decarbonisation part, the Minister recalled the two new projects under development with NEK - Dospat and Batak, where 1,600 to 2,000 MWh of new storage capacity is expected to be installed. "This will turn Bulgaria into the energy monster of the region, with balanced energy, which will help the Balkans as a whole," Stankov noted.

He also raised again the issue of the marine areas project that has been worked on over the years. "We will continue the strategy of tendering for offshore and territorial exploration for natural gas," Stankov said.

Energy efficiency was another topic he addressed during the forum. He recalled the measures developed for multi-family buildings, but now single-family buildings will also be in focus. "My task is to develop other such programmes to enable people to transform themselves from consumers to 'consumers who produce','" Stankov announced.

Finally, he addressed the predictability of energy prices for businesses, where the State currently pays compensation for prices above BGN 180 per MWh. However, he views this measure as a short-term one. "We need to create a special financial mechanism to enable companies to use cheap green energy without asking them to invest in installation. In a few weeks I will present a special instrument," the Energy Minister concluded.

/DS/