A drastic increase from July 1st in heating and hot water in the capital has been requested by “Toplofikatsiya Sofia” from KEWR. The proposal is for a 29% increase in the price per megawatt-hour – from 69 euros to 89. Some of the proposals for other cities have hidden data, which is the companies' right.
In Veliko Tarnovo, 87 euros per megawatt-hour are offered, compared to 69 so far, which is a 26% increase. The data for Pleven is also clear. There, the company offers 11 percent more expensive hot water. What the other proposals are is expected to become clear from the regulator, which must consider them and make a final decision in the next 3 months.
The electricity distribution companies have also submitted their applications for electricity prices after July 1, but their data is also hidden for now and will become clear at a later stage.
“Everything is very expensive. And “Toplofikatsiya”, and CEZ, and everything”, says Silvia Temelska. She goes to the capital's “Toplofikatsiya” to file a complaint about her bill, but she also finds out about the proposed price increase. “This is impossible, there's no way it's happening, they're lying to the people”, claims Silvia.
Petar also uses central heating, and he thinks he'll cover his bills if there's no increase. “One must find ways and options from where to make more money”, he believes.
The motives of “Toplofikatsiya Sofia” are as follows: “The proposed increase takes into account the significant increase in natural gas prices after the escalation of the conflict in the Middle East, the need for intensive repair work on the heat transmission network and production facilities”.
Shortly after this announcement, the Ombudsman sent a letter to the Energy and Water Resources Commission, in which he stated that such an increase would be unbearable for thousands of households. “This is absolutely unacceptable. It is still not clear how the building installation will be calculated, i.e. we still do not have a formula there. Six of the district heating companies have also published their price proposals and they again vary in this range - between 20 and 30%, says Velislava Delcheva.
There is no reason for the conflict in the Middle East to affect prices, the ombudsman believes. “During these 7 months “Toplofikatsiya” has actually purchased cheaper natural gas than what was forecasted”, says Delcheva.
A week ago, the chairman of the regulator expressed his concern about the upcoming prices. “I am extremely worried about what is happening from July 1st with the new prices of heating in Sofia and those of electricity. The cargoes that have been purchased are at lower prices and are traveling to the respective countries. The moment they end, the higher prices are already applied”, said the Chairman of KEWR Plamen Mladenovski.
Today, in response to a query from NOVA, KEWR clarified that they will analyze each proposal. “In connection with the submitted price proposals, the Commission emphasizes that it will not allow an unjustified increase in the prices of electricity and heat. As before, the regulator will apply a balanced and conservative approach in order to protect service users from a sharp price jump”, the Commission says.
The electricity distribution companies have also submitted their proposals for new electricity prices. What is the requested increase - we have yet to find out.
The topic was commented on in the “Interview in NOVA News“ and the Chairman of the Association of District Heating Companies Kremen Georgiev. According to him, the applications for the new prices are not a matter of “reinsurance“, but are prepared according to strictly defined models by the KEWR. He emphasized that at the end of the procedure, the regulator makes adjustments.
“Towards the end of June, KEWR, in addition to practically cutting costs that are proposed by each district heating company, also sets a projected price for the period from July 1 to June 30 next year – for natural gas and greenhouse gas emissions“, he added.
According to him, there is still considerable uncertainty due to the international situation.
“We are now in early April, we have three months until then – what will happen with the war in Iran or with something else on the geopolitical plan, we do not know. And the price of gas can really go in different directions“, commented Georgiev.
He added that the district heating companies themselves could also be surprised by the final results.
“I assume with a high degree of probability that this result, which appeared in the applications, surprised them. In order to reduce this result, the district heating company must cut some of its expenses that it has already set“, he pointed out.
On the topic of energy efficiency, Georgiev was categorical that partial renovation does not yield results.