Semerdjiev expects another electricity price rise

"The price of electricity will increase by at least 3% as of July 1, 2013 due to the utilisation of renewable energy sources (RES). This will reflect an identical increase in the additional charge for green energy," Angel Semerdjiev, Chairperson of the State Energy and Water Regulatory Commission (SEWRC), said after a regular meeting of the body. The fee renewable energy producers pay in order to access the grid will be lowered once it is permanent but not enough to offset the higher green energy charge, so, eventually, end users will have to pay more, Semerdjiev said.

Semerdjiev underscored the fact that preferential renewable energy prices have not been altered so far and the decision to start charging power companies for the right to sell their energy to distributors is a way to make them, rather than consumers, assume the burden of additional costs electricity distribution utilities will incur through buying renewable energy at preferential prices. "According to our calculations, access charges made up for additional outlays this year. However, as of next year, these costs will have to be priced in and consumers will feel the increase," explained Semerdjiev. The head of SEWRC predicted that the greenhouse gas emissions Bulgarian power plants will have to purchase as of 2013 will have no significant effect on the consumer price of electricity. Till recently, one tonne of emissions traded for €7 and, now, it is nearly €9. "If the market value remains unchanged next year, it shouldn't affect the end price of electricity since it has already been priced in," Semerdjiev said.

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