Bulgaria: Updates in the national regulatory framework for the renewables sector

3 March 2024
Bulgaria: Updates in the national regulatory framework for the renewables sector

Recent updates to the national regulatory framework for the renewable energy sector have brought about several significant changes, primarily focused on reducing the time and complexity associated with project development. This includes simplifications in licensing, permitting procedures, and grid connection timelines.

As of early 2023, adjustments to the Spatial Development Act have eliminated the need for development-design project approvals when seeking building permits for renewable energy installations on rooftops, facades, and adjacent lots, provided the total installed capacity does not exceed 1 MW. Similarly, no detailed plans are required for RES installations outside urbanized areas. Moreover, building permits are no longer necessary for constructing, repairing, or replacing energy production installations for single-family residential and villa buildings, and their adjacent land properties.

These installations, with a total installed power not exceeding 20 kW, intended solely for personal consumption, require only a notification to the municipality’s chief architect before construction begins. Subsequently, after installation, further notification is submitted to confirm that the installation is operational and adheres to the technical documentation. These amendments considerably expedite the administrative procedures for self-consumption RES projects.

Additionally, during the early months of 2023, amendments to the Energy Act were introduced to regulate energy storage activity, with a focus on integrating energy storage facilities into the national power system. These amendments also increased the threshold for power generation subject to licensing for energy projects from 5 MW to 20 MW of installed capacity.

Furthermore, they introduced an exchange market for guarantees of origin, which will be managed by the Independent Bulgarian Energy Exchange (IBEX) and will become operational soon. In the coming months, the National Assembly is set to review and vote on bills for amendments to the Energy Act and the Energy from Renewable Sources Act.

These proposed changes aim to achieve several goals, including harmonizing national legislation with the provisions of Directive 2018/2001, regulating energy communities, defining producing end-consumers, and providing incentives for them. These amendments also aim to create the necessary conditions for implementing the reforms outlined in the National Resilience and Recovery Plan (NRRP), with plans for further simplifying connection procedures for RES projects in the pipeline.

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