“The price of diesel in Europe has reached about $1,500 per ton (nearly $200 per barrel), which is a double increase compared to the previous month“, announced in the special pre-election edition of the program “120 minutes“ on bTV Ivaylo Valchev, deputy chairman of “There is such a people“ (ITN) and MEP from the group of European Conservatives and Reformists.
According to him, expensive fuels threaten the country with a price spiral, and the government is late with the measures. “The government's first reactions were – it's okay, everything is under control. This has delayed real action,“ believes Valchev.
According to him, the most affected sectors - transport, logistics and agriculture - must be urgently supported in order to avoid passing on the price increase to end consumers.
The Ministry of Transport and Communications proposes the creation of a fund to which additional revenues from higher fuel prices would be channeled. The funds would be used to support critical sectors.
Valchev expressed understanding for the transport industry's demands for relief: “If the sector is not supported, a spiral of price increases will result, which will hit everyone“.
However, he is skeptical about the return of the reduced VAT for restaurateurs. “When VAT fell before, prices did not fall“, commented the MEP.
Instead, in his opinion, differentiated rates for basic food products would be more useful, which would affect the chain to the end consumer.
Valchev also commented on the 10-year agreement with Ukraine signed by caretaker Prime Minister Andrey Gyurov and raised the question of whether a caretaker government has the right to sign long-term international agreements with Ukraine. According to him, there is a lack of sufficient public and political consensus for such an agreement.
Regarding Donald Trump, Valchev stated that European conservatives do not support him “blindly“, but stand for a broader republican vision, close to traditional pro-European positions.
He assured that the ITN remains a pragmatic formation that works for “what is necessary for Bulgaria“.