Toplofikatsiya Sofia owes €1.3 billion to BEH and Bulgargaz

The municipal company Toplofikatsiya Sofia continues to accumulate debt to the state. Energy Minister Iva Petrova announced during parliamentary oversight proceedings on Friday that its liabilities to the Bulgarian Energy Holding (BEH) and Bulgargaz have already reached €1.3 billion.

According to the minister at present the two state-owned companies are providing the necessary financial resources at their own expense to ensure the municipal company’s continued existence and its ability to supply hot water to Sofia residents, “amid systematic and persistent failure by Toplofikatsiya Sofia to fulfill its obligations.”

To ensure the supply of natural gas the public utility is forced to constantly seek liquidity support both from BEH and through credit lines from commercial banks.

This currently allows supplies to be maintained, but it is not a sustainable model,” noted the Minister of Energy,” said Petrova.

The minister believes that a solution to the problem cannot be found unilaterally but rather requires a concrete commitment and action on the part of both Toplofikatsiya Sofia and the Sofia Municipality as its owner.

Petrova did, however, reassure that the district heating company’s operations this winter are secured as far as the Ministry of Energy is concerned.

Translated with DeepL.