Bulgaria’s energy regulator, KEVR, has initiated a public discussion to introduce significant reforms to the nation’s electricity trading framework. This move aligns with recent legislative changes aimed at modernizing the sector and enhancing its operational efficiency.
The discussions have attracted a diverse array of stakeholders, including representatives from Bulgaria’s three main electricity distribution companies, Sofia Municipality, and the Bulgarian Association of Electrical Engineering and Electronics. Their involvement underscores the anticipated extensive impact of these proposed reforms across the energy landscape.
As outlined by KEVR, the proposed amendments seek to harmonize secondary legislation with recent updates to the Energy Act and fulfill Bulgaria’s obligations under its National Recovery and Resilience Plan. A critical aspect of these reforms includes a new methodology for calculating electricity that is generated, consumed internally, and sold within the market.
KEVR officials have emphasized that the revised framework is intended to facilitate market access for citizen-led initiatives and renewable energy communities. Additionally, it aims to promote self-consumption generation, which could lead to reduced network losses, more stable energy costs for consumers, and lower network-related charges over time.
The draft regulations also encompass provisions for onboarding new market participants, organizing trading groups, outlining contractual arrangements, managing registration processes, and facilitating data exchange among network operators, suppliers, and energy community members.
Distribution companies have voiced practical concerns regarding the proposed changes. They have called for a clearly defined administrative authority to oversee registrations and adequate time for implementing the new calculation methodologies. KEVR chair Plamen Mladenovski indicated that ideally, registration responsibilities should be transitioned to the Sustainable Energy Development Agency; however, this would necessitate amendments to existing primary legislation. In light of pressing deadlines associated with the Recovery and Resilience Plan and an ongoing EU infringement procedure regarding directive transposition delays, registration duties are currently assigned to distribution companies.
The final version of these amended trading rules is set to be adopted by KEVR on January 29. Following this approval, the rules will be forwarded for official publication.
This regulatory direction is further reinforced by government support. Energy Minister Zhecho Stankov has announced plans for 2025 to establish Bulgaria’s largest energy community in collaboration with the transmission system operator ESO and the Bulgarian Development Bank. This initiative aims to alleviate financing challenges while enhancing overall energy balancing within the national grid.
