Economic and Social Council Calls for Review of Carbon Policies, Measures to Address High Electricity Prices

The Economic and Social Council (ESC) adopted a resolution at its plenary session calling for a balanced approach to the implementation of the European Union Emissions Trading System (EU ETS) and the Carbon Border Adjustment Mechanism (CBAM). In it, the consultative body representing employers, trade unions, and civil society organizations calls for a review of carbon policies and measures to address high electricity prices. The document states the necessity to strengthen the protection of both industry and vulnerable households, the institution announced.

Bulgaria’s national position at the EU Environment Council and the Energy Council must be reviewed in light of high electricity prices and the threat of a prolonged natural gas shortage. The ESC supports the position expressed at government level through a letter signed by ten countries to the President of the European Commission requesting a revision of the EU ETS.

The resolution recommends introducing a permanent mechanism to compensate excessively high prices, and reassessing plans to liberalize the household electricity market.

The advisory body emphasizes that achieving climate goals must be combined with maintaining economic competitiveness and social sustainability, without allowing the deepening of inequalities or the weakening of national economy.

At its plenary session, the ESC also adopted an opinion titled Shadow Economy in Bulgaria, in which it notes that in recent years there has been a trend toward a gradual decline in the shadow sector in the country, but its share remains relatively high compared to EU countries, the institution announced. In the document, the Council makes a number of recommendations for more ambitious and adequate measures to significantly curb and prevent shadow economy.