The State Energy and Water Regulatory Commission (SEWRC) determined that the ceiling price of natural gas will rise by 9.87 per cent for the first quarter and by as much for the second quarter of 2008, the SEWRC Press Center said on Thursday.

Thus, 1,000 cub m of natural gas will cost 365.64 leva as from January 1, 2008, up 33.34 leva from the current price of 332.30 leva.

The Commission rejected a 25.46 per cent hike of the fuel asked by Bulgargaz.

The price adjustment decision was taken after a discussion at the Consultative Council on Tripartite Cooperation, the Press Centre said. The gas suppliers' arguments were heard and additional information on the company's financial position and economic condition was required at an open meeting on Wednesday.

Additionally, the SEWRC working group analyzed thoroughly the figures about the US dollar rate fluctuations, the increased price of alternative fuels on the international markets and the upward trend of natural gas consumption in winter.

"The Commission took a very important, balanced and socially responsible decision," SEWRC Chairman Konstantin Shoushoulov said. Despite the changed price of natural gas, the prices of heat power will not be changed during the winter heating season, the SEWRC argued.

A change of the natural gas price by the same margin in the first half of the year will enable industrial enterprises to streamline their costs and Bulgargaz to obtain the funding it needs for its licensing operation, Shoushoulov believes.