Energy disputes—Bulgaria—Q&A guide

The following Energy practice note provides comprehensive and up to date legal information covering:

  • Energy disputes—Bulgaria—Q&A guide
  • 1. Describe the areas of energy development in the country.
  • 2. Describe the government’s role in the ownership and development of energy resources. Outline the current energy policy.
  • 3. Describe any industry-standard form contracts used in the energy sector in your jurisdiction.
  • 4. What rules govern contractual interpretation in (non-consumer) contracts in general? Do these rules apply to energy contracts?
  • 5. Describe any commonly recognised industry standards for establishing liability.
  • 6. Are concepts of force majeure, commercial impracticability or frustration, or other concepts that would excuse performance during periods of commodity price or supply volatility, recognised in your jurisdiction?
  • 7. What are the rules on claims of nuisance to obstruct energy development? May operators be subject to nuisance and negligence claims from third parties?
  • 8. How may parties limit remedies by agreement?
  • 9. Is strict liability applicable for damage resulting from any activities in the energy sector?
  • More...

Energy disputes—Bulgaria—Q&A guide

This Practice Note contains a jurisdiction-specific Q&A guide to energy disputes in Bulgaria published as part of the Lexology Getting the Deal Through series by Law Business Research (published: February 2021).

Authors: Georgiev Todorov & Co—Mariya Derelieva

1. Describe the areas of energy development in the country.

The Bulgarian energy market is dominated by electricity. Bulgaria has a diverse electricity mix, including nuclear, thermal and renewable power plants (water, wind, solar and biomass power plants). In 2019, the largest share in electricity generation was provided by the nuclear power plant - 40 per cent; the next share, of 39 per cent, came from coal power; energy from water-renewable sources represented 8 per cent; whereas the same 8 per cent came from wind, solar and biomass. Annual gross production in 2019 amounted to 36,894,618MWh.

In 2019, the quantity of natural gas distributed by the licensed transmission company Bulgartransgas on the domestic market was 30,464,908m3, while 75,392m3 were from local production.

The liberalisation of the electricity market in Bulgaria is progressing smoothly. By 30 June 2021, all commercial consumers should become part of the free market decreasing the share of the regulated market, where only the households will be left. Furthermore, by 1 July 2021 at the latest, all producers of electricity from renewable energy sources (RES) with a capacity above 500kW having long-term power purchase agreement, should conclude

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