Liberalization of the electricity market for non-household customers from 01.10.2020.

Liberalization of the electricity market for non-household customers from 01.10.2020.

The upcoming liberalization of the electricity market for all non-household consumers is a continuation of the process of changing the electricity market in Bulgaria, which started in 2004. The aim is to provide a real choice for consumers of new development opportunities through competitive prices, a high standard of services, security of supply and sustainable development regulated by natural market mechanisms. Information about the process is reported by the electricity distribution company for North-Eastern Bulgaria Energo-Pro.

Until now, the free electricity market was only mandatory for non-domestic customers whose sites are connected at the medium voltage level. With the latest changes to the Energy Act, published in SG, no. 57 of 26.06.2020, from October 1, 2020, all non-domestic customers are foreseen, including those whose objects are connected to the electricity distribution network at the low voltage level (about 300 thousand in number throughout the country with total annual consumption of ≈ 4.5 TWh.), to purchase electricity for their needs at freely negotiated prices.

In order to achieve the smoothest possible transition to the liberalized electricity market and minimize the risk of suspension of activity due to being without power supply, the legislation provides for the possibility of any non-domestic customer connected to low voltage who, until 30.09.2020, has not chosen supplier to be supplied by his current final supplier (CU), but in his capacity as a trader. In this case, the supply will be carried out by concluding a contract with standard conditions, which are expected to be approved by KEVR by 31.08.2020 with a term from 01.10.2020 to 30.06.2021.

During this period, customers will be able to leave end suppliers as soon as they find a new supplier without incurring penalties. Customers who do not choose another supplier by 30/06/2021 will, from 01/07/2021, be supplied by a supplier of last resort (SPI). 

By 01.01.2021, a central web-based platform for comparing current offers for the supply of electricity will be created under the leadership of KEVR, and all customers with an annual consumption of less than 100 MWh will have free access to it. Each electricity trader will be required to provide information about the platform in the invoices it issues to its customers or in attachments to them.

It is important for customers to know that already during the initial registration on the electricity market, with the supply contract, they will be able to authorize their supplier to conclude contracts on their behalf and at their expense with the relevant network operator and with the DPI. For convenience, contracts will also be able to be concluded electronically with an electronic signature. 

In this regard, if necessary, we can assist in the selection of a trader on the free market, as well as the movement of documents to the relevant ERP. For more information, write to us at:

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