Thousands of Sofia residents are without heating again. Immediately after the elections, the government announced that the price of natural gas was going up by 32.52%.
It is regrettable that Toplofikatsiya Sofia is being discussed again only when winter approaches and thousands of people are left without heating.
This is stated in the official position of Sofia Mayor Vasil Terziev.
Let me remind you: the principal of Toplofikatsiya Sofia is the Sofia Municipal Council. It is the body responsible for the strategic decisions concerning the company’s future.
Twice during this term, I submitted reports proposing an independent technical, financial and regulatory analysis. I continue to insist on an objective assessment of the company’s condition, but so far the Sofia Municipal Council has been unable to find the will to make a decision.
Over the past two years, Toplofikatsiya Sofia has been managed better, but the ongoing breakdowns show that even good management cannot make up for decades of mismanagement, the draining of the company and chronically insufficient investment, given these financial results.
The solution is a new management model that will attract billions in private investment, technology and expertise, and ensure reliable heating at a socially affordable price for Sofia residents. Debt restructuring is also necessary, with the active participation of the state.
I hear proposals for nationalization, including from people who have been municipal councillors for more than a decade. In my view and that of experts, this is categorically a bad decision that will neither replace the outdated pipes, provide the billions needed for modernization, nor guarantee better service at a predictable price.
We can also see what decisions the regulator and the state are making in the energy sector—decisions that are sinking both Bulgargaz and Toplofikatsiya Sofia. The agreement with Botas and the widening gap between the price of the raw material and the service are, in practice, making it an impossible task for the company’s management to provide a quality and uninterrupted service. We are all paying, and will continue to pay, the consequences of this decision.
The Sofia Municipal Council must take responsibility for the future of Toplofikatsiya Sofia, because behind every breakdown are people, families, schools and hospitals. They have the right to reliable heating and to decisions that will not be postponed until next winter. I am ready to take action with all parties on this key issue—until a strategic and long-term solution is found.