Former Minister of Energy Rumen Ovcharov insists that "Lukoil" be included in the list of companies whose excess profits are taxed by the state. In a television interview for the program "Denyat ON AIR" he analyzes the situation on the fuel market and the lack of long-term contracts for Russian oil.
According to Ovcharov, "Lukoil" is currently operating at nearly 90 percent of its capacity. At such a scale of production, just purchasing the raw material costs hundreds of millions of dollars, to which are added the increased insurance and transportation costs. However, the former minister is adamant that the company makes a profit and it should not remain outside the scope of the new tax measures.
"I very seriously advise the Prime Minister to include “Lukoil“ in the list of companies whose profits are taxed with excess profits", Ovcharov told Bulgaria ON AIR television.
According to him, European Commission data show that fuels in our country are among the cheapest in Europe before excise duties and taxes. Prices at the refinery's gas stations are a few cents lower than those of other large chains. Ovcharov pointed out that between 55 and 60 percent of the fuels on the Bulgarian market are produced by "Lukoil", regardless of the brand under which they are sold at retail.
On the topic of Russian oil supplies, the energy expert emphasized that the lack of a long-term contract makes it impossible to achieve lower prices through direct negotiations.
"If we conclude a long-term contract for oil, as in Slovakia and Hungary, yes, for sure, or as in Malta from Libya, yes, it will be lower. But we do not have such a contract", the expert commented.