Natural gas and district heating prices to increase by more than 5%

Natural gas prices will increase by 6.67% as of Saturday, October 1, decided the State Energy and Water Regulatory Commission (SEWRC) yesterday. “Thus, 1000 cu m of natural gas will cost BGN 594.37, VAT excluded,” said Head of SEWRC Angel Semerdjiev. The proposal of Bulgargaz JSC was for a price increase of the natural gas of 13.86%, but the Commission reduced this percentage.  SEWRC relies on the local production in order to limit the increase in fuel prices.

Gas extraction in the Black Sea will become more expensive by 22%, said Dimitar Gogov, Executive Director of Bulgargaz. The company, which produces gas near the town of Kavarna - Melrose Resources Plc, demanded higher prices, and the proposal has already been submitted for approval to the Bulgarian Energy Holding. Gogov added that despite the price increase in the local gas production, it remained by above 30% cheaper than the imported natural gas.

“The district heating prices will rise next month because of the surge in the natural gas prices. The District Heating Company (DHC) Pleven will record the biggest increase of 4.77% to 71.58 BGN / MWh, VAT excluded,” said Angel Semerdjiev. In Sofia, the district heating prices will be up by 3.35% to 80.08 BGN / MWh, and in Plovdiv, the increase is 3.75% to 91.95 BGN / MWh. In Vratsa, the heating energy prices will jump by nearly 3% in the new season, to 83.98 BGN / MWh. In Bourgas, the increase will be 2.12% to 68.85 BGN / MWh. The district heating prices in Ruse, Pernik, Sliven and Varna will rise by less than a percentage, and in Gabrovo they will remain unchanged.

“A reduction of the service price will take place in the town of Veliko Tarnovo alone - by 1.38%, but the district heating there is the most expensive. The price increase of hot water and district heating energy from July must be added to these prices as well, so the household bills will increase by another 4-5%,” said Semerdjiev.

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