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Ivan Hinovski: Fuel prices will soar because of Lukoil

Derogation and the appointment of a special administrator are the most reasonable solutions in the current situation

Снимка: БГНЕС

Just 10 days ago, politicians had to request an urgent derogation from the United States for the Russian oil company "Lukoil". All Bulgarian citizens will be affected by the sale of the assets, although there will be no fuel shortage. However, prices are expected to rise. This was warned by energy expert Ivan Hinovski in an interview with the Bulgarian National Radio.

Hinovski is categorical that a derogation and the appointment of a special administrator are the most reasonable solutions in the current situation. He commented on what Bulgaria expects after November 21 - the deadline for implementing the sanctions imposed by the US on "Lukoil".

"Why did Germany and other countries take measures to declare a derogation, and Bulgaria did nothing? We have been saying for years that these sanctions for Lukoil are awaited. We are always late and behind the events, and this worries me a lot," recalled Hinovsky.

According to him, the special manager does not dispose of the company's assets. And with legal changes to dispose of the property, this is already nationalization.

"The special manager controls the inflows and outflows, he holds the business, holds tenders for the purchase of crude oil. If he leaves the functions of operational control of the company, we are heading towards nationalization," the expert explained.

Hinovsky recommended that the government make an urgent inventory of all reserves in the country and prepare a program for the economic use of fuels.

"There is a danger of a crisis and emergency aid, hospitals, schools must be guaranteed. If the refinery stops working, we must import fuels. "Lukoil has influence on the stock markets, prices will rise," he predicted.

The energy specialist stressed that although there will be no fuel shortage, prices will rise due to the situation with the "Lukoil Neftochim Burgas" refinery. According to him, urgent action is needed by the government to guarantee the country's energy security.