Fuel will stay expensive this winter, but supplies are not at risk, says Dimitar Hadzhidimitrov of the Association of Bulgarian Fuel Traders, Producers, Importers and Carriers.
He says there is no reason to worry for now. The Burgas refinery is running at about 75-80% of capacity, and orders and contracts for the coming months are being filled without problems. He expects no trouble before spring, either with Lukoil or at the plant.
Hadzhidimitrov believes prices will stay high until the end of the year, but says that depends on how the conflict around the Strait of Hormuz develops.
Prices have swung both ways over the past month. Diesel first fell by 2-3 cents, then rose again. LPG costs more because of higher seasonal production costs.
Hadzhidimitrov says petrol and diesel at close to €2 a litre have little effect on inflation. People complain but keep driving, and fuel use in litres is at its highest in 5 years.
Hadzhidimitrov calls scrapping the excise duty on LPG an important step. LPG use has grown by about 20% since the duty ended. He backs help for farmers, on both excise duty and fertiliser. In his view, the €50 compensation is what the budget can afford.
He opposes the proposal to pay 20 euro cents compensation per litre of fuel. The state would have to borrow to fund it, and borrowing money just to hand it out does not sound serious to him.
In September, economy minister Alexander Pulev said the Lukoil Neftochim refinery in Burgas is working at high load and its finances are not at risk. He said supplies to the home market are guaranteed, and surplus diesel goes for export.
Hadzhidimitrov believes Lukoil's profits should be judged over a full year. He says the state should have made sure earlier that the company pays the taxes it owes.