The topic “Energy“ is something that we generally chew on every year. What is different today is the statistics for 2025 and the first month of 2026. It shows that Bulgaria has one of the most expensive electricity in Europe, which means a loss of competitiveness, a higher price for services and products that come out of our industry. This accordingly affects society, creating inflation.
This was commented by the chairman of KRIB Kiril Domuschiev, who participated in the annual presentation of the priorities of the Association of Bulgarian Employers' Organizations (AOBR), quoted by economic.bg
Domuschiev was categorical that the most important problem is the loss of competitiveness of the industry, and from there - in markets.
“Especially the energy-intensive industry - the one with over 20 - 25% cost of energy - is not competitive. Yes, prices in Europe are also high because of the war in Ukraine, but in Bulgaria last year it was 107 euros. Only Italy, Romania and Hungary have a slightly higher price than ours. All other countries have much lower prices on the "Day Ahead" market.
He added that the price for the Bulgarian industry is 20% higher than that in Germany and 70% higher than France and Spain. And compared to the Scandinavian countries, our electricity is 5 - 6 times more expensive.
Even more striking are the data for the current year.
We start with 146 euros per megawatt hour from January 1st - this is the average price until February 5th. "This is, to me, fatal for our economy," said the chairman of the Bulgarian Chamber of Commerce and Industry.
In this regard, he insisted on continuing the compensatory mechanism, which is vital for the energy-intensive industry, which provides over 20% of GDP.
The European Commission allows this with its new mechanism for clean industry, but unfortunately we continue to delay this notification. Not to mention that instead of applying the optimal amount of compensation, our government has set 64 euros as the lower threshold instead of 50 euros. I don't know for what reason, but this is how the state punishes its own economy.“
Domuschiev emphasized that these funds are not a “gift“: “They go for investments, for green energy and energy saving. This is a mandatory condition and will lead to additional investments in clean energy, and not just giving funds without accountability.“
The lack of long-term electricity contracts was cited as another absurdity.
A company cannot conclude a long-term contract if it does not have a clear idea of what its cost would be. Only in Bulgaria do serious companies that have invested hundreds of millions look at beans and guess what the price would be on the stock exchange tomorrow. They buy day by day. Such a miracle only exists in Bulgaria! We will insist on a special segment where each company knows how much electricity is in its cost.“
On the topic of the green transition, he was clear: “We are “for“, but everything must happen smoothly, and not with directives like “you are obliged to from tomorrow“. In reality, many things are not technically possible and we will fight at the EC level to calibrate these deadlines.“
His sharpest words were about the management of energy projects.
As soon as the state starts doing something, the thefts, schemes and frauds begin. Every new capacity must have a clear business plan and a specific investor, and not be financed by us through compensations. 20 billion leva were squandered on subsidies in 2020 – 2025 through bonuses and preferential prices. And what is the result? Our energy system has not become more competitive, we have a shortage and we are always in the top three most expensive in Europe.“
Domuschiev called for complete liberalization and an end to cross-subsidization. “Currently, the industry subsidizes the price of household goods. Even I get cheap electricity at home, without being poor, which is not normal. This only happens in Bulgaria – we are leaders in things that are not available elsewhere. There should be assistance, but for the poor through the Ministry of Social Affairs. Everyone else should pay for their electricity as it costs.“