could use that time to think how to synchronise the submission of business plans when the next financial year rolls around, so as to avoid the pointless attacks against some of the companies in the energy sector.
It is most distressing that the focus of investment programmes was creating new production capacities, under a business plan not approved by SEWRC
at that, and not investment in the grid," Semerdjiev was quoted as saying by news website Mediapool.
The practice to outsource most of their operations to vertically-integrated subsidiaries was a breach of the licences awarded by SEWRC and had created the premises for "artificial, non-competitive, nontransparent and unjustified increase of the costs of the audited companies", the regulator said.
SEWRC said that the three distribution companies--owned by Austria's EVN, Czech CEZ and Germany's E.
ON Bulgaria chose to comment on the substance of the report's summary published by SEWRC.
But the company would not go into further details, saying that it would only comment on all the conclusions of the report once it received the report itself and that it planned to give full feedback to SEWRC, the Cabinet and any other state institution.
Without the full report, the summary published by SEWRC creates the premises for speculation and interpretations that EVN Bulgaria does not wish to be a part of.
Despite its powers after the privatisation of the three power distribution companies in 2004, SEWRC never carried out a single regulatory audit of the companies.
SEWRC also took into account the higher price of nuclear fuel used by Kozloduy station.
Given that price inflation, SEWRC had to cut some costs elsewhere to prevent a big hit on end-users and the target of its efforts became the power distribution firms.
In layman's terms, having seen NEK's poor state, SEWRC raised the company's revenues.
Refinancing talks held by NEK, which would have raised the loan's servicing costs by between eight and 20 million leva, were put on hold by SEWRC
, Dnevnik reported.