site.btaGovernment Lagging Behind in Introducing Mechanisms to Monitor Energy-poor Households, Says Economic and Social Council

The Government is lagging behind in introducing administrative mechanisms to assess, identify and monitor energy-poor households in Bulgaria, the Economic and Social Council (ESC) said in a statement on Thursday.

The Economic and Social Council is calling for a comprehensive national strategy against fuel poverty, which would include a clear mechanism to compensate the liberalized market and index the official poverty line to inflation. Compensation should be income-based and cover only the electricity bills of the main dwelling.

According to the ESC, around 1.8 million people - 30% of the population - do not have access to adequate energy services and an additional 365,000 are vulnerable customers. Bulgaria ranks first in the EU in the proportion of people who cannot heat their home (20.7%), compared to an EU average of 10.6% in 2023.

The Council expressed concerns about the persistent price imbalance in the electricity market: in 2024, prices in South East Europe are on average 30% higher than in Central Europe, and in July the difference exceeds 110%. The ESC urged the State to accelerate electricity interconnection with the systems of Central and Northern Europe and, together with Greece and Romania, to propose to the European Commission the creation of a European Energy Solidarity Fund to compensate for price differences.