03.03.2020
Prime Minister Boyko Borissov announced at a briefing at the Council of Ministers that the price of natural gas for Bulgaria decreases by over 40%. The decrease is the result of negotiations between Bulgargaz EAD and PJSC Gazprom to change the price of natural gas supply based on a signed agreement between the European Commission and the Russian company. Thus, an agreement was reached to change the pricing of natural gas on a monthly basis. So far, the price has been determined on the basis of oil derivatives. In the new formula, a major part of the component will be formed by the price of regional markets. As a result of the introduction of the new formula, the natural gas supply price for Bulgaria decreases by 40.3% compared to the current one.
"Negotiations continued for about seven months. We conducted them professionally with the help of the European Commission," said Prime Minister Borissov. According to him, it is no coincidence that today, on March 3, Gazprom returned the contract signed. "There is symbolism. I also want to thank my colleagues from the Russian Federation. We have never denied their contribution, on the contrary, we have always thanked them and expressed our appreciation for the sacrifices and assistance they have provided to Bulgaria during the war and for our liberation. This morning they returned the contract signed - the largest reduction of all countries renegotiating their contracts - over 40%," said the Prime Minister. Borissov recalled that last year our country imported nearly 0.5 billion cubic meters of liquefied natural gas from alternative sources. "Diversification and competition show gas prices falling," the Prime Minister added.
"The achieved decrease in the price of natural gas is unprecedented, Bulgarian industrial and household consumers will benefit from market prices," said Minister Temenuzhka Petkova. According to the agreements reached between the two parties and the terms of the agreement between Gazprom and the European Commission, Gazprom will pay to Bulgargaz the overpaid amount as of 05.08.2019. The Bulgarian gas supplier will in turn pay the respective amounts to its customers. "According to initial calculations, after the approval of the prices by the Energy and Water Regulatory Commission, the gas supplier's customers will be reimbursed nearly BGN 150 million," said Bulgargaz's executive director Nikolay Pavlov. According to him, from March 1, 2020, the pricing will be on a monthly basis.
"Let the Liberation Day at least unite us. We, as a government, have demonstrated our political will in these negotiations and are proud of being Bulgarians," Prime Minister Boyko Borissov said, pointing out that today our border has zero migration pressure.
