Electricity as part of the Energy sector is of major importance to the Bulgarian economy, accounting for a considerable part of its GDP. In line with EU liberalisation efforts, the major developments in the Bulgarian electricity sector in recent years are related to the transposition of the Third Energy Package, facilitating the market liberalisation process and increasing the rights of the consumers.

Current issues in the electricity sector in Bulgaria include:

• Decreasing annual gross production of electricity due to decreasing internal electricity consumption
• Increasing share of the liberalised market
• Decreasing levels of investments in maintenance and modernisation, slowed down by insufficient financing in the sector
• Low energy efficiency
• High share of installed capacities from renewable resources (32.9% as at 31 December 2013), thus exceeding requirements set, as a result of the investments made in recent years
• Recently established energy exchange and balancing market, which has been in operation only since 1 June 2014. 

These features of the local electricity market impose serious challenges for its future development and stability, especially considering the ever changing economic and regulatory climate. 

In the mid-term perspective, there is a need for:

• Stability in regulatory policies
• Overall strategy for the development of the sector with a particular emphasis and clear vision on the future of nuclear energy and energy efficiency. 

The overall strategy should envisage measures to:

• Resolve the issues with financing in the sector
• Improve the functioning mechanism of the balancing market
• Contribute to an operational energy exchange. 

The right support when you need it

By combining valuable global insight with hands-on local experience, we help our clients address the challenges they are facing.

We maintain a leading market position through assisting major organisations in the Electricity sector to respond to industry trends and business issues. Our portfolio of clients ranges from large multinationals to local players. 

Our team of highly qualified professionals with a special focus on the Electricity sector can provide you with a wide range of services, tailored to the specific client needs, including full scope Audit, Tax and Advisory services. Our sector specific services are: 

• Regulatory accounting 
• Regulatory compliance 
• Regulatory tax and legal advice 
• Business performance improvements.