site.btaIllegal Fuel Sales Cost State over BGN 550 Mln, Industry Calls for Tighter Controls

An analysis released on Monday showed that losses to the state budget from the consumption of unregistered fuel exceeded BGN 550 million in 2024, underscoring the persistence of the grey fuel market in Bulgaria. According to the joint study by the Bulgarian Petroleum and Gas Association (BPGA), Center for the Study of Democracy, the National Revenue Agency and the Customs Agency, roughly 12.39% of the fuel consumed in 2024, about 659 million litres, went unregistered, leading to an estimated budget shortfall of BGN 578 million in unpaid excise duties and VAT. Diesel represents the bulk of the illicit market with 612 million litres affected, corresponding to 16.32% of total diesel consumption. Gasoline’s share is smaller, at 5.79%.

Commenting on the analysis, Bulgarian Petroleum and Gas Association (BPGA) Chair Svetoslav Benchev told BTA that there are several practical ways to tackle the grey fuel market. He said fuel transport must be brought under tighter control by using the national toll system to track tanker trucks in real time, including their routes, destinations and stops. He said another key step is minimizing manipulation of electronic fiscal systems through cash registers, noting that BPGA will work with the National Revenue Agency on the issue. Benchev also stressed the need for stricter control over the origin of fuels and production sites. He further argued that legislative changes are necessary, most likely amendments to the Excise Duties and Tax Warehouses Act to regulate the installation of cameras with state support, as well as tighter rules for the registration and control of fiscal systems. BPGA, he added, has prepared proposals for such legal changes.