"The government ministers, the MPs and personally the Prime Minister must answer the Bulgarian public, correctly and accurately, literally in the coming days, about the underlying causes of the surge of natural gas prices: are they set in the agreements signed, or do they come from the international economic situation, or are they the result of subjective reasons like bad governance," Bulgarian President Georgi Purvanov told journalists here on Monday.

The head of State believes that a clear and reasoned forecast must be made to eliminate "all specific questions which are posed by certain business circles, many of them probably not quite well-intentioned," as he put it.

"The nearly 30 per cent rise in the price of natural gas will have a negligible effect on inflation," Finance Minister Plamen Oresharski said, replying to a reporter's question. "There is absolutely no way for the State to subsidize Bulgargaz whether directly or indirectly," the Minister said. "This would constitute state aid according to the EU regulation and would be subject to return if granted."

The structures of the Confederation of Independent Trade Unions in Bulgaria (CITUB) are on strike alert in connection with the forthcoming increase of the price of natural gas, CITUB Vice President Valentin Nikiforov said. A poll of 100,000 CITUB members showed that 23-24 per cent favour a one-hour or one-day warning strike over the gas hike, and nearly 52 per cent favour a national demonstration, Nikiforov said.

CITUB President Zhelyazko Hristov said that the gas must go up by less than 30 per cent.

"The State Energy and Water Regulatory Agency (SEWRC) has to elaborate a mechanism fostering competition in gas supply in Bulgaria," Milen Velchev MP of the Simeon II National Movement told journalists in Plovdiv. He explained that in this way, once there are multiple gas suppliers, Bulgarian consumers will have a choice and this will force suppliers to offer more affordable prices.

"The natural gas prices for the fourth quarter of 2008 will be fixed on September 30," SEWRC Chairman Konstantin Shoushoulov told journalists on Monday. The regulatory body was supposed to pronounce on the new price rise on Monday, but owing to the heightened public interest will make a decision after Tuesday's meeting of the National Council for Tripartite Cooperation at the Council of Ministers, Shoushoulov pointed out.

Source: BTA