The Economy and Energy Ministry said Thursday that it has made a decision to set up an Energy
Holding Company (EHC) and submitted all requisite papers for registration with the Commercial Register. EHC brings together five state-owned companies: the National Electric Company (NEK), the Kozloduy N-plant, Bulgargaz Holding, Maritsa East Mines, Maritza East 2 Thermo-electric power plant.

EHC is set up on the basis of the existing Bulgargaz Holding after a change of its name and object.

The decision on the incorporation of EHC has been made by Energy Minister Peter Dimitrov in his capacity as sole owner of the capital of the five companies. EHC remains a joint-stock company with 100 per cent state interest. It also includes NEK's Energy System Operator and the existing daughter companies of Bulgargaz Holding (Bulgargaz, Bulgartransgaz and Bulgartel.

Having set up EHC, Bulgaria has one of the biggest energy companies in the region and a national energy leader with consolidated assets worth some 8.5 billion leva (about 4.3 billion euro), consolidated revenue of some 3.6 billion leva (some 1.8 billion euro) and 21,000 employees, the Economy Ministry said.

The model for setting up EHC through renaming the existing Bulgargaz Holding and changing its registration is optimal in respect of time and costs, according to the Economy Ministry.

They believe that EHC will ensure preserving and enhancing the competitive advantages of the Bulgarian energy industry, and its position on the regional and European energy market in keeping with the national and European legislative standards.

Also, EHC will help achieve greater efficiency and better quality of energy services, optimize the costs and introduce modern mechanisms for attracting investment, the Ministry says.

By the ministerial decision, a five-member interim Board of Directors is appointed at EHC, including Deputy Economy and Energy Minister Galina Tosheva, Kozloduy Executive Director Ivan Genov, NEK CEO Lyubomir Velkov, Maritsa East Mines Executive Director Ivan Markov and Maritsa East 2 CEO Georgi Hristozov.

Source: BTA; Photo: BGNES