Gas prices will rise again in December, the Energy and Water Regulatory Commission (EWRC) forecasts. Its calculations show households already pay about 20% more in November.
Gas has gone up by almost 33% since the start of the month. The EWRC says prices will keep rising because of the geopolitical situation. It has told Bulgargaz to change its mix, meaning its sources of gas.
EWRC representative Tasko Ermenkov told BNT: "If we had not changed the mix, if we had not told Bulgargaz to change its mix, we would have a 39% increase today." He said the rise does not depend on the EWRC or on anyone else.
Businesses that use gas in production are in a tough spot. They expect food prices to go up because of it.
Pizza and pasta prices have already gone up, said a pizzeria owner. He said a pizza costs €5–6 in Italy, but €7, 8 or 10 here. That is why restaurants in Bulgaria cost more than those in neighbouring countries, he said, and another price rise will close many of them.
Staff will get no Christmas bonuses, no pay rises and no extra incentives, the owner added. He said much of the industry cannot pay decent wages at today's cost of living.
Toplofikatsia Sofia cannot pay the new gas price, said Kremen Georgiev, head of the Association of District Heating Companies. The company already owes the Bulgarian Energy Holding (BEH) group over €0.77bn (1.5bn leva), or over €767m, for gas.
Georgiev expects district heating companies to fall further into debt to Bulgargaz and to pay what they can. He said the Sofia company's debt could reach €0.79bn (1.55bn leva), or about €792m, or €1.02bn (2bn leva), or about €1.02bn. He called that not "that fatal".
The association hopes gas will stay expensive for one more month at most. If prices keep rising after New Year, the EWRC should change heating and electricity prices from the district heating companies on its own initiative, Georgiev said. The commission has said it will not do this for heat, but could for electricity.
The association's calculations show heating is already sold at a social price that does not cover the companies' real costs. Its prices have never been realistic, Georgiev said. Asked by BNT how much they should rise, he replied:
"Quite a lot, tens of percent. And for Toplofikatsia Sofia, hundreds of percent, two hundred, three hundred, that is, at least two to three times."
Heating prices will not rise from New Year, Ermenkov promised. He said Toplofikatsia Sofia is in a poor state because of short-sighted management. It must be explained, he said, why the company did not invest in cogeneration, meaning plants that make electricity, to offset its losses.