Price of natural gas in Bulgaria up by nearly 19% for September

Bulgaria’s Energy and Water Regulatory Commission (EWRC ) set a new price for natural gas from today. September 1. The price of the blue fuel is going up by almost 19%. This is yet another increase in the price of gas, which has risen by nearly 150 % in the past three months.

The energy watchdog said it had confirmed the request of public supplier “Bulgargaz” for a higher natural gas price by nearly 19%. About 50% of the blue fuel comes from Azerbaijan, but it is at a higher price because the supplies do not pass through the new gas link with Greece, which is not yet completed, and they pass through the old one from Kulata - Siderokastro.

The price of gas from Azerbaijan is expected to drop in October. However, it is unlikely that this decrease will be enough to reduce the overall price, as according to Bulgargaz, the gas coming from the tankers costs nearly BGN 400 per megawatt-hour. Partially, such quantities are secured for this month.

With the new price increase, the price of natural gas has risen five times in the last year alone, and by 1,200% since the beginning of 2021. Initially, Bulgargaz asked for an increase of 6%, but it has raised its forecast twice, first to a 17% rise and now to a 19% rise.

Because of the high price of the blue fuel, the municipality of Dobrich, where most kindergartens and schools use gas, is considering two options to cope with the rising costs.

"Firstly, we have put a reserve in the budget to be updated if necessary. Secondly, if Bulgaria remains without gas, then we have commented on whether to switch from gas to electric boilers," said Yordan Yordanov, mayor of Dobrich.

An extra 1 million BGN has been set aside in the municipality's budget to pay the extra costs or to switch to alternative fuel.

"I can say for kindergartens that we are on standby to switch to electricity, we are currently talking with school principals, but there are some that can and have used solid fuel," said Yordan Yordanov.

The new state budget does not include additional money to support businesses because of high gas prices.