Acasă » Oil&Gas » Consumers » Bulgaria on collision course with EU in gas monopoly case

Bulgaria on collision course with EU in gas monopoly case

28 November 2017
Consumers
energynomics

At a secret session on Saturday (24 November), the Bulgarian Parliament decided not to recognise the European Commission’s positions with regard to a case of abuse of dominant position in the gas market by the Bulgarian Energy Holding (BEH) and its subsidiaries Bulgargaz and Bulgartransgaz.

The Bulgarian gas grid is owned by Bulgartransgaz, which is part of the Bulgarian Energy Holding (BEH), which has amassed a muti-million euro debt to the state budget. The BEH holding was established in 2008 by then-Prime Minister Sergei Stanishev, with the aim of cross-subsidising state companies at a loss. Bulgargaz is the largest Bulgarian gas distribution company, according to Euractiv.com.

The intricacies of the Bulgarian energy trade have helped keep monopolies alive and resist EU energy liberalisation rules.

According to information by the Bulgarian national radio BNR, MPs have approved a position according to which Bulgaria should not recognise alleged infringements and should not assume responsibility for them, including a possible multi-million euro fine.

All 176 MPs present in the National Assembly reportedly voted in favour of the motion to reject the Commission’s positions, filed by opposition MPs Zhelyu Boychev and Tasko Ermenkov.

By the same decision, the parliament instructed the Minister of Energy Temenuzhka Petkova to take all necessary actions to protect the interests of the country and the companies concerned, including actions for appealing against the Commission’s decisions.

The case concerns a complaint by the private gas company Overgas.

The relationship between Overgas and the state gas companies has been complicated. In 2010, Bulgartransgaz blocked Overgas’ access to the gas grid. Consequently, Overgas lodged a complaint with the European Commission, which, in 2011 carried out raids at several Bulgarian gas companies, as part of a wider investigation into possible breaches of its antitrust rules, as part of its Gazprom probe, which remains ongoing.

The fine in the European Commission’s case against Bulgargaz, Bulgartransgaz and the Bulgarian Energy Holding (BEH) could reach €330m Petkova told yesterday BNR.

Leave a Reply

Your email address will not be published. Required fields are marked *