In today's session, the Council of Ministers of the Republic of Bulgaria made an important decision concerning the future of the energy sector in the country. An amendment to the conditions for granting a loan to the state-owned company "Bulgargaz" was approved, as well as a draft Additional Agreement to amend the contract between the Ministry of Energy and the public gas supplier.
This decision comes in the context of the government's ongoing efforts to ensure stability and efficiency in the energy sector, especially in the area of natural gas supply. "Bulgargaz", as a 100% state-owned company, plays a key role in these processes, being the main public supplier of natural gas in Bulgaria.
According to the approved Additional Agreement, the term of the contract is extended by 3 years, or a total of 36 months. This extension includes a grace period for repayment of the loan principal. As a result of these changes, Appendix No. 1 - "Repayment Schedule" to the Loan Agreement will be amended, reflecting recalculated values of the repayment installment, the remaining principal balance, as well as the new amounts of principal and interest.
These changes are essential for the financial stability of "Bulgargaz" and for the company's ability to fulfill its functions as a public supplier of natural gas. The extension of the contract term and the grace period will give the company greater flexibility in managing its financial resources and will support long-term planning of its activities.
The Council of Ministers reminds that "Bulgargaz" is a company with 100 percent state participation in the capital. The main scope of activity of the company includes public supply of natural gas and trade in natural gas. In addition, the company is engaged in a number of related activities, including purchase and sale of gas, purchase of natural gas for storage in gas storage facilities, as well as conducting marketing studies and analyses of the natural gas market in the country.
It is important to note that the state's rights in "Bulgargaz" are exercised by the Minister of Energy. This ensures a direct link between state policy in the energy sector and the operational activities of the company, which is key to the effective management of gas supplies in the country.
This decision of the Council of Ministers is part of a broader strategy to strengthen Bulgaria's energy security and optimize the management of state-owned energy companies. It reflects the government's commitment to ensuring stable and affordable energy supplies for Bulgarian citizens and businesses.