Municipalities Call for a Three-Year Transition to Implement the “Polluter Pays” Principle in Waste Tax Calculation

Municipalities are requesting a three-year period for the phased introduction of the “polluter pays” principle in calculating household waste collection fees. The proposal was raised by mayors during the annual meeting of local authorities, which was also attended by Finance Minister Temenuzhka Petkova on October 13.

Minister Petkova stressed that local governments are not ready to apply the new mechanism for waste taxation as of 1 January next year.

Temenuzhka Petkova, Minister of Finance of the Republic of Bulgaria:
“The information available to the Ministry of Finance shows that approximately 73 municipalities have indicated some level of readiness to introduce a household waste tax based on the ‘polluter pays’ principle. This represents a very small percentage, meaning that, more generally, Bulgarian municipalities are not yet prepared at this stage.”

The mayors called for a gradual transition to the new fee structure.

Emil Kabaivanov, Mayor of Karlovo Municipality:
“The ‘polluter pays’ principle is fair. The issue is that if it is implemented immediately and under pressure from state institutions, the financial burden will fall primarily on Bulgarian citizens.”

Krasimir Nikolov, Chair of the Municipal Council – Dobrich:
“Absolutely everyone – municipalities, municipal administrations and citizens alike – agrees with the ‘polluter pays’ principle. But, to be honest, at this stage there is no complete readiness to introduce it from 1 January. As we all know, the euro will also be introduced from 1 January, and there could be a negative effect if people perceive that the adoption of the euro has led to higher waste collection fees.”

Daniel Panov, Mayor of Veliko Tarnovo and Chair of the Management Board of the National Association of Municipalities in the Republic of Bulgaria:
“According to this methodology, the application of the principle would increase the household waste tax several times over – I would say by more than tenfold for Bulgarian consumers. Ultimately, when we discuss the 2026 state budget, we will have a final vision of the future of the household waste tax – whether it will follow the new methodology or whether there will be a gradual transitional period, as we municipalities are requesting.”

Minister Petkova recalled that the European Commission has launched an infringement procedure against Bulgaria over waste management issues. She emphasised that the new methodology should be introduced, but only after a thorough analysis carried out in close cooperation with the municipalities.