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(DF) Energy Minister Nikolov: Shock Electricity Price for Businesses Has Not Materialized Yet

January 4 (BTA) – “The shock increase of the price of electricity, anticipated by the business, with prices of over 700 leva per MWh, is not a fact for the moment,” said Energy Minister Alexander Nikolov on Tuesday in response to demands to scrap the compensation cap of 30 per cent of the actual market price. Earlier in the day the nationally representative employer organizations in an open letter said that the measures proposed by the government are ineffective in view of the situation with the prices of natural gas and electricity in economies which are competitors of Bulgaria. The scheme for electricity compensation for non-household consumers capped at 30 per cent of the market price renders meaningless promises that that businesses will be compensated with 75 per cent of the difference between the market price in July 2021 (185.59 lv/MWh) and the actual market price for the respective month if the price is higher than 300 lv/MWh. “With prices of 800 lv/MWh the compensation will be equal to 240 lv/MWh and business will have to pay an intolerable 560 leva per MWh. In such a situation many first echelon and key structural enterprises will have to suspend operation,” said the employer organizations. In the open letter they call for an urgent meeting with Prime Minister Kiril Petkov to discuss “the extremely critical to the economy and the social peace situation”. RY/PP //