The Italian utility Enel has unveiled provisional plans to buy four hydropower plants in Bulgaria and invest $300 million. The announcement was made by the Italian deputy industry minister, Adolfo Urso, after a meeting with the Bulgarian energy minister, Milko Kovachev. The Italian company Edison is also discussing a Bulgarian project to build a combined cycle plant and has plans to distribute gas.
Enel had previously signed a Memorandum of Understanding with Bulgaria to construct three new hydropower plants and refurbish a further four. A possible joint venture was also under study.
Meanwhile the Bulgarian government has said that household electricity prices in the country must draw level with industrial prices this year. Currently the peak cost of electricity to industry is higher than that to domestic consumers, the reverse of the situation in most developed countries. Rehabilitation of the Maritsa East III coal fired power plant will push up the average cost of power by 3.5 per cent, while closing two units at the Kozloduy nuclear plant will add 3 per cent. Building new capacity at Maritsa East I will add a further 10 per cent.