Bulgargaz: Toplofikatsia Sofia's debts exceed EUR 900 million, but gas deliveries continue

Bulgaria's public gas supplier Bulgargaz held a working meeting on 6 November with Sofia Mayor Vasil Terziev and the chairman of the City Council on the debts of the capital's district heating company, Toplofikatsia Sofia. According to Bulgargaz, the accumulated debts exceed EUR 900 million and are still growing.

What was decided. The two sides agreed that Toplofikatsia Sofia must take real and consistent steps to repay its debts and set up regular meetings; the next one is due next week. No repayment schedule was announced. Bulgargaz said it will keep supplying natural gas to the company despite its own financial difficulties.

The supplier's position. Bulgargaz says Toplofikatsia Sofia regularly fails to meet the payment schedules it submits and does not provide the financial information needed for a lasting solution, while its requests focus mainly on money for repairs. „The need for repairs cannot be a permanent reason for postponing payments”, the company said.

Context. Bulgargaz had requested the meeting on 23 October, when it said it had not received the financial data it had asked for by 22 October, including an updated payment schedule and a 13-week cash flow forecast, the BTA news agency reported. The request came amid talks on a new gas supply contract for 2027 and the start of the heating season. Also according to BTA, Energy Minister Iva Petrova said on 11 September that Toplofikatsia Sofia's liabilities to Bulgargaz and Bulgarian Energy Holding exceed EUR 1.28 billion.

What next. The stated aim of the meetings is concrete repayment of the debt and a sustainable long-term model for the relationship between the two companies.

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