Bulgarian Minister of Energy Zhecho Stankov announced that the government will provide compensation to non-residential consumers to help mitigate the impact of high electricity prices. This decision is part of the extended 2025 budget and aims to achieve three key goals: reducing inflation driven by electricity costs, safeguarding jobs in various industries, and maintaining the competitiveness of Bulgarian businesses both within Europe and globally.
Under the new plan, the government will cover 100% of the electricity cost above 92 euros per megawatt-hour (MWh), up to the average market price on the Independent Bulgarian Energy Exchange (IBEX). Minister Stankov emphasized that this measure will ensure price stability and predictability for industries. Additionally, strict legal actions will be taken against businesses that unjustifiably increase the prices of goods and services, particularly essential items, citing high electricity costs as a justification.
The compensation program is secured for the period from January to March 2025. However, Stankov noted that the Ministry is inheriting a deficit in the Electricity System Security Fund for December compensations. Despite this, the government has managed to allocate sufficient funds to cover around 30% of the average electricity bill for December.
Both Minister Stankov and Finance Minister Temenuzhka Petkova emphasized the importance of immediately beginning work on the 2025 budget to ensure that Bulgarian businesses can remain competitive, retain market share, continue investing, and prevent passing high electricity costs onto consumers. They also reassured that households will not bear the burden of increased electricity prices.
