New rules for water and sanitation services in Bulgaria
The National Assembly adopted at the second reading important amendments to the Water Act, which are directly related to the implementation of the Recovery and Resilience Plan. The main goals are to ensure the social affordability of prices and to optimize the management of water and sanitation networks.
The changes aim to ensure a balance between the interests of the municipalities and the need for consolidation of the water and sanitation sector, while simultaneously protecting vulnerable consumers.
Key highlights of the legislative changes:
- Differentiated prices: Different tariffs are introduced for residential and non-residential consumers to ensure social accessibility.
- Social affordability: The "average monthly income" criterion is replaced with "median income", which is expected to bring more social justice.
- Status of residential consumers: Social infrastructure facilities (kindergartens, schools, hospitals, temples), as well as small businesses with consumption of up to 25 cubic meters of water per month, are equated to residential consumers.
- Consolidation of operators: The concept of a "designated territory" is defined, with incentives provided for operators working within consolidated zones.
The deputies decided that the business plans for the regulatory period 2027-2031 must be submitted to the EWRC no later than June 30, 2026. Despite discussions regarding the risk of fragmentation of the sector, the sponsors emphasize that the goal is to protect the rights of the municipalities without depriving them of financial resources.