International environmental law organisation ClientEarth is challenging the actions of the Bulgarian government because of the existing obstacles to the local production and sharing of renewable energy in communities – a proven way to reduce monthly bills and increase households’ energy independence. Greenpeace Bulgaria supports the initiative.
Bulgarian citizens are being prevented from producing and sharing their own clean energy as Europe faces a winter of high and unstable fuel prices, ClientEarth warned today. The environmental protection organisation using legal means has filed a complaint with the European Commission, arguing that the government has failed to create workable conditions for the development of renewable energy communities despite its obligations under European law. ClientEarth has made similar criticisms of the governments of Poland, Hungary and Croatia.
Recent price shocks have placed households and small businesses across Europe under serious pressure, turning energy bills into a matter of survival.
In their October winter outlook, European gas transmission system operators reported historically low gas stocks amid high and unstable prices on global markets. Since gas-fired power plants can determine electricity prices, a sharp rise in gas prices can also lead to higher electricity prices. In Bulgaria, meanwhile, gas prices rose sharply by 32.52% at the beginning of November – an unprecedented increase in the past three years, which will inevitably put pressure on households and businesses.
Ensuring affordable energy for those who need it most is one of the aims of energy communities. They allow citizens, micro, small and medium-sized enterprises, and local institutions to jointly produce and share renewable energy – for example, through solar panels installed on the roof of a school, administrative or residential building. In this way, people can reduce their electricity bills even when they do not have a roof of their own or cannot afford their own installation.
Greater electricity generation from renewable sources can reduce dependence on expensive fossil fuels such as gas and coal and mitigate the impact of future price shocks. Combined with technologies for balancing production and consumption, locally produced energy can make national energy systems more resilient. According to European Commission data, households participating in energy communities that use a combination of solar and wind power could save up to €930 a year.
According to ClientEarth, however, establishing and operating an energy community in Bulgaria remains extremely difficult. Although energy communities are now legally recognised, this has not been accompanied by a regulatory framework that would allow them to be easily established and operated.
“In Bulgaria, energy communities exist thanks to great enthusiasm and persistence. The law recognises them, but complex procedures and the incomplete regulatory framework continue to prevent citizens from producing and sharing their own clean energy. The great potential for more affordable community energy and greater independence remains unrealised in practice,” commented Balin Balinov of Greenpeace Bulgaria.
EU countries were required to bring the Renewable Energy Directive into force by 30 June 2021. Josh Roberts, an energy law expert working with ClientEarth on the complaints, said: “More than five years have passed since the deadline, and some countries still make it extremely difficult or even impossible for their citizens to take an active role and have a stake of their own in the energy transition. Member States cannot continue to delay resolving the problem indefinitely.”
By 2030, the installed renewable energy capacity of energy communities could increase tenfold, enabling them to generate electricity for 25–30 million households. This, however, will only be possible if appropriate regulatory conditions are created for their development.
Hundreds of public buildings and suitable municipal sites could become the foundation for future energy communities. What is needed is political will, clear rules and support for people who want to produce their own energy.
“Paradoxically, back in 2023, when the current Prime Minister Rumen Radev was president, a solar power plant was built on the roof of the presidency, providing around 30% of the building’s electricity needs. If this option is good enough for the presidency, why should it not also be available to citizens?” Balinov added.
ClientEarth is calling on the European Commission to investigate the alleged violations and ensure that the Bulgarian government turns energy communities into a genuinely viable and financially sustainable option.