"Heating Sofia" EAD threatened me that if I made public the information I requested about the technical and financial status of the company in my capacity as a municipal councilor and their owner on behalf of the people of Sofia, they would sue me.
This is what he wrote on "Facebook" Simeon Stavrev. He is a second-term municipal councilor from PP-DB-SS in the Metropolitan Municipal Council. His comment is about one of the scandalous municipal companies - "Toplofikatsia Sofia" EAD.
The truth is that this is an inefficient and stagnant enterprise.
The previous and current management do not show much desire for modernization and recovery, as is clear from the written answers to my questions. I only provide summary information which is also publicly available to avoid going to court.
Here are the main takeaways:
- "Bulgargaz" EAD is a major supplier of gas. The debt to BEH and its subsidiary "Bulgargaz" by the end of 2023 it is almost BGN 1.6 billion
- The assets of the company are not much more than the liabilities.
- Revenues for 2023 are from the sale of heat and electricity. The lack of modernization in the electricity production facilities deprives the company of further revenues in the amount of hundreds of millions per year.
- Expenditures for 2023 are more than revenues. The main ones are those for the purchase of gas and carbon quotas. It seems to me that the company has a bloated headcount, whose salaries are also a major expense item.
- The costs of the repair program are modest. This means that mainly breakdowns are repaired and few replacements are made to outdated infrastructure, enough to provide a basic service.
- Accidents are increasing.
- Electricity production capacities are available only in two of the four heating plants - TPP "SOFIA" with 72 MW and "SOFIA IZTOK" CHP with 205.35 MW. These capacities should have been at least doubled in capacity many years ago, but no management of Toplofikatsia Sofia managed this main task.
- The price for the end user today has jumped by 60% from that in 2019.