site.btaUPDATED Parliament Adopts at First Reading Postponement of Electricity Market Liberalization for Households

The National Assembly adopted at first reading on Wednesday two bills to the Energy Act that postpone the liberalization of the electricity market for household consumers. The two bills were tabled by MPs from BSP – United Left and There Is Such a People (TISP).

In support of the amendments tabled by BSP – United Left, 154 members of Parliament voted in favour, none were against, and there were 35 abstentions. The proposal envisions a 2-year postponement of market liberalization for household consumers.

The second bill, tabled by TISP, proposes a 5-year postponement. It received 157 votes in favour, one against, and 23 abstentions.

The National Assembly rejected proposed amendments from Vazrazhdane, which called for a 10-year delay in liberalization for household consumers.

BSP – United Left floor leader Dragomir Stoynev emphasized that an important political decision needs to be made but noted that there is still no impact assessment, and the removal of regulated prices will lead to serious social problems and the risk of a sharp price increase. He also pointed out the lack of clarity regarding the specific mechanism for protecting households.

National Assembly’s Committee on Energy Chair Pavela Mitova of TISP said that removing regulated prices for household consumers will lead to negative consequences for them, and the EU directive does not specify a concrete date for liberalization. She noted that the Energy Ministry has managed to negotiate with the European Commission so that Bulgaria can choose the liberalization date itself. Mitova said that a working group comprising all political parties in Parliament will be formed as early as Wednesday to determine the mechanism by which the liberalization will take place, with a timeline different from the ones proposed in the three bills, and one tied to the term of a government – 4 or 8 years.

Krasen Krastev of GERB-UDF said that his party will support all three bills. "One thing is certain – liberalization will not harm the people. Starting July 1, 2025, there will be a new way of determining electricity prices for end suppliers, and prices for household consumers will once again be fixed," the MP emphasized.

Radoslav Ribarski of Continue the Change – Democratic Bulgaria (CC-DB) stated that the CC-DB parliamentary group will not support any of the bills. According to him, the electricity market liberalization will most likely happen on July 1, 2025, as planned. "Liberalization done this way is dangerous. Last year, we postponed it by a year to supposedly be more prepared, but we see that we are not ready," he stressed.

Stanislav Anastassov of the Movement for Rights and Freedoms – New Beginning (MRF – New Beginning) declared the party’s support for the proposed bills but stressed that it is important not to allow people’s electricity bills to increase, while at the same time the government must do its job.

Remzi Osman of Democracy, Rights and Freedoms (DRF) stressed that DRF will support all three bills.

Krasimira Ninova-Katincharova from Grandeur noted that the proposed bills need to be supported, but this is not good legislative practice. "In the energy sector, instead of managing crises, we are deepening them. There is no need to compensate consumers, but rather to avoid creating energy-poor people, which can be done by building the Belene nuclear power plant," she commented.