Банкеръ Daily


The Business Insisted That the State Annul the "Corrupt" Deal of Toplofikacia Sofia

Bulgarian employers have demanded that Toplofikacia Sofia cancel the "corrupt" deal to sell electricity at a non-market price. In its position, the Association of Bulgarian Employers' Organizations refuted the information of the municipal company published days ago in which the deal was claimed to have been concluded "completely transparently and at market prices". On July 25, the employers announced: "On July 16, 2020, through bilateral negotiations through the Bulgarian Independent Energy Exchange, a deal was anonymously concluded for 110,450 MWh at a price of BGN 78.10 / MWh and delivery time October, November and December 2020. While this scam was being under way the municipal company Toplofikacia Sofia was promising it would return money to the capital's subscribers – it is something the company has no credit for, this is due to the common European will for a free market, the good work of Bulgargaz, supported by the government and EWRC. So, while some work, others just steal - we have information that "Toplofikacia Sofia" is the seller of that amount of electricity at a reduced price.


The expert estimate of the damages is about BGN 2.2 million. In other words, the management of the municipal company due to corruption or incompetence caused each of its subscribers BGN 5 detriment!"


In a position from July 27, the business asked: “Why was the deal done inno time and in a way that neither the seller nor the buyer would become publicly known? The deal regards 110,450 MWh or over BGN 10 million at market prices?


The employers’ stance:

On the occasion of Toplofikacia Sofia’s dull attempt to cover up the committed crime (in our opinion), we would like to give the public the following explanations. The electricity price during the winter period is significantly higher compared with the summer period - this rule has been valid for every year since the establishment of the Bulgarian Independent Energy Exchange.


The claim to the contrary brings to mind that the transaction is corrupt and / or the result of criminal ignorance. The price of futures for the winter period is a proof of the failure of the thesis that this year the price of electricity for the winter period will be lower is. For those unfamiliar with the matter, we would like to clarify that futures are simply the current price for a future period. That is, currently the price for October - December 2020 period is 10 euros per MWh higher than the selling price of Toplofikacia Sofia. Therefore, the corruption marge is BGN 2.2 million. In its price decision for the Electricity sector, EWRC makes calculations at an average period price of BGN 90 / MWh. Lack of awareness of the decisions of the only energy regulator in Bulgaria is managerial incompetence. Restricting competition is the most obvious sign of corrupt deals! Purposeful selection of a low current activity trading screen for convenient passing of a dubious deal is precisely such a restriction of competition. The losers, of course, are the customers of Toplofikacia Sofia! The winners are the participants in the corruption deal!


Again for the sake of public clarity, the normal practice of the BIEX is that the auctions for purchase / sale be visible at least 16 hours in advance so that all participants can prepare for the auction and conclude the best deal for all parties. Instead of at least 16 hours, Toplofikacia Sofia allowed the participants less than 5 seconds, contrary to the normal auction procedures. In 4 seconds Toplofikatsiya Sofia lost BGN 2.2 million due to a corruption deal.



-Although the transaction has been concluded its execution starts from 01.10.2020. That is, the execution of the transaction has not started yet. Why doesn’t Toplofikacia take action to cancel the deal, given that the damage to the company is proven by all experts? There is no such obstacle. The dead silence on this topic helps us conclude that the deal is corrupt!


Who are the owners of the unknown trader from Varna. Is it true that the property of this trader cannot be traced because the company is owned by various legal entities from abroad which are each other's parent companies?

If true, this is also a sign of a corrupt deal!


    - To whom was the electricity, subject to the scam, subsequently resold - these facts are documented and easily verifiable especially for a company with a modest trade turnover. Will there pop up any familiar names among the shady electricity field?


The presented facts cannot convince us that the deal is market-based and clear. BGN 5 was stolen from each subscriber of Toplofikacia Sofia.

In our opinion, the only way out of this situation is: cancellation of the transaction, resignation of the management, accountability before the law of the guilty persons.

Facebook logo
Бъдете с нас и във