Deputy Minister of Economy, Investment and Industry Krasimir Yakimov said the European Commission should carry out a broad assessment of the EU Emissions Trading System and how it affects industrial competitiveness. He made the remarks at an informal meeting of the EU Competitiveness Council in Dublin. Bulgaria’s position also calls for accelerating investment in electricity networks, energy storage and digital infrastructure.
Review of carbon pricing impact on industrial competitiveness
Bulgaria’s stance reflects concerns in coal-dependent and manufacturing-oriented EU economies about carbon costs increasing faster than the infrastructure needed for industrial decarbonisation. The proposal notes that high EUA prices can encourage investment in cleaner production. It also says the impact becomes harder to absorb when companies do not have access to competitive low-carbon electricity, grid connections or sufficient system flexibility.
Priority status for electricity networks and faster project approvals
Yakimov proposed that electricity networks be given the status of infrastructure of primary economic importance. He said this could support faster permitting and investment approval for transmission, distribution and storage projects. The aim is to address bottlenecks affecting renewable generation and industrial electrification.
Bulgaria’s approach links grid investment with carbon pricing rather than treating them as separate policy areas. It argues that a stronger network would enable greater use of renewable electricity, reduce congestion and support electrification of industrial heat and production processes. The position also highlights storage and demand-side flexibility as tools for industrial users to manage exposure to volatile hourly electricity prices.
Industrial base focus amid CBAM’s financial phase
Bulgaria said climate policy should strengthen the European industrial base rather than contribute to energy-intensive production moving outside the EU. It argued the transition requires a predictable regulatory framework, better access to finance and clearer support for energy efficiency, electrification and flexibility investments. The proposal frames these elements as part of ensuring continued industrial competitiveness.
The position is described as particularly relevant for metals, chemicals, fertilisers, cement and other industries exposed to both EU ETS costs and international competition. It states that these sectors will increasingly rely on long-term electricity procurement, grid-access certainty and credible decarbonisation plans as CBAM moves deeper into its definitive financial phase.
