Price of electricity for businesses in Bulgaria continues to rise

The price of electricity for businesses continues to rise, but remains the lowest in the region.

According to the data of energyLive in the segment of the "Day Ahead" power exchange, the price in Bulgaria is 268.05 euros per megawatt hour. For comparison, in neighbouring countries - Romania, Greece and Serbia, it is higher, but by a little. The increase in power exchange prices in Bulgaria is more than 4%.

Due to the liberalisation of the electricity market in Bulgaria, businesses are obliged to buy electricity through the power exchange. Most consumers buy from the "Day Ahead" segment - nearly 70%. 30 percent of the offered quantities of energy are traded under long-term contracts. Thus, companies depend entirely on market fluctuations.

Another problem is that a very small part of the companies - about 10% insure themselves against high electricity prices by buying futures.

Due to the high electricity prices and the difficult situation in which the companies find themselves, the cabinet has developed a support programme. The goal is to make payments of BGN 110 per megawatt-hour in compensation to monthly electricity bills for October and November.

Additional assistance will be given to small companies that buy electricity from the "Supplier of Last Resort market - between BGN 15 and 30.

However, this assistance will only be paid for another two and a half months.