Parliament Passes Law on Lukoil, Overriding Presidential Veto

The Parliament made an important decision, rejecting the veto of President Rumen Radev and re-adopting the Law on the Amendment to the Law on Investment Promotion. This decision was supported by a majority of the MPs, who united to ensure the adoption of the amendments. The bill was approved with 125 votes "for", 74 "against" and no abstentions.

The adopted amendments provide for significant restrictions on the sale of assets of the Russian oil company "Lukoil" in Bulgaria. According to the new provisions, such transactions will only be able to be carried out after approval by the Council of Ministers, with the condition of a positive opinion from the State Agency "National Security" (DANS). This is a significant change aimed at strengthening control over potential transactions related to Russian companies in the key energy sector.

Support for the bill came from various political forces, including GERB-SDS, "DPS – New Beginning", "BSP – United Left", "There is such a people", one MP from "Alliance for Rights and Freedoms" (APS) and three independent MPs. This demonstrates some political consensus regarding the need for stricter oversight of Russian assets in the country. On the other hand, the parties "We Continue the Change – Democratic Bulgaria", "Revival", 12 MPs from APS and the group of "Moral, Unity, Honor" (MECH) voted against. The "Velichie" party did not participate in the vote, which further underlines the division on the issue.

According to the adopted provisions, DANS will conduct a preliminary investigation and will provide a written opinion before each transaction concerning company shares and shares from the capital of "Lukoil-Bulgaria" EOOD, "Lukoil Neftohim Burgas" AD, "Lukoil aviation Bulgaria" EOOD and "Sustainable Energy Supply" OOD. These measures are part of a broader effort to increase transparency and ensure that transactions with Russian assets are in line with national interests and security requirements. The requirement also applies to transactions with shares or stocks in other legal entities included in their ownership structure, registered in the territory of Bulgaria or in third countries, when they are owned by "Lukoil" OAO (Russia) or related persons. The same rule will also apply to transactions with real estate, movable property and facilities intended for processing, production, storage and sale of oil and petroleum products. It is important to note that any disposal transaction carried out without the permission of the Council of Ministers is void. The law comes into force on the day of its promulgation in the "State Gazette".

The meeting in Parliament was preceded by a tense atmosphere. Earlier in the day, the work of the MPs was interrupted so that an extraordinary meeting of the Energy Committee could be held, at which the veto of the head of state was rejected. This action highlighted the urgency and importance that is given to the legislative changes. After the committee rejected the veto, the issue was included in the agenda of the plenary session.

During the debates in the plenary hall, different points of view stood out. Iskra Mihailova from "Revival" expressed criticism of the procedure, emphasizing that the speed with which important changes in the legislation are being considered, calls into question the rule of law. According to her, the bill focuses attention on one subject without considering the issue objectively, which can open doors to machinations.

Stanislav Anastasov from "DPS – New Beginning" responded to these criticisms by emphasizing that the purpose of the bill is to ensure that the refinery in Burgas does not fall into the hands of persons associated with Vladimir Putin.

Vasil Stefanov from "We Continue the Change – Democratic Bulgaria" expressed concerns about the practical effectiveness of the proposed changes. He predicted that these changes will be challenged in the Constitutional Court and will not achieve their goals. He drew attention to the ongoing negotiations for the acquisition of "Lukoil Neftohim Burgas" by a Cypriot company, raising the question of the real possibility of DANS preventing such a transaction.