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Bulgargaz proposes that the price of natural gas from July 1 be BGN 46.88 / MWh (excluding prices for access, transmission, excise and VAT), the Energy and Water Regulatory Commission (EWRC) announced.
At an open meeting EWRC discussed a report in connection with the submitted application of Bulgargaz EAD for approval of a price for July at which the public supplier will sell natural gas to final suppliers and to the persons to whom a license for production and transmission of heat has been issued. energy.
Natural gas rises in price by 20% today (June 1)
At the meeting, the Executive Director of Bulgargaz EAD Nikolay Pavlov agreed with the conclusions and findings in the report. He clarified that after the submission of the application on 10 June, the quotations of oil and oil products and
prices on European gas markets continue to rise
as a result of increased demand for these fuels.
From the data presented by him it became clear that for the last 6 months the international oil prices have increased by more than 50% and have reached 75 USD / barrel. For the same period, the average price of natural gas increased by 70% – from 16 euros to over 28 euros / MWh. “Nevertheless, the price that Bulgargaz EAD will offer in July will be over 10% lower than the prices on the European gas exchanges,” said the company’s executive director.
EWRC Chairman Assoc. Prof. Ivan Ivanov expressed the regulator’s concern that the high rise in fuel prices will inevitably require a serious adjustment in the pricing decisions to be adopted by the Commission on July 1, both in terms of natural gas prices and heat prices.
New increase in natural gas prices from April 1
“The data on the sharp rise in gas and oil prices on international markets, as well as the price increase of carbon allowances, mean that the regulator is about to take decisions that
from July 1, a significant increase in prices for consumers of natural gas and heat is expected.
These are difficult and highly undesirable decisions by the EWRC, as they will have a negative impact on consumers, and the regulator is fully aware of this. At the same time, the regulator has no choice but to take into account the impact of current quotations on the price elements of oil and natural gas on international markets, as Bulgaria receives them entirely from imports, “said the chairman of the regulator.
On July 1, Bulgargaz EAD will submit to the EWRC an updated application with reporting information as of June 30 for the prices of the market indices of European gas hubs, as well as information on the average monthly exchange rate for converting the euro into US dollars for June. We remind you that the EWRC approved a price of natural gas from June 1, 2021 in the amount of BGN 45.27 / MWh (excluding prices for access, transmission, excise and VAT).
