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Calls for Resignation of Bulgaria Energy Mega Structure Head

Date: 24.06.2010

Bulgaria’s former prime minister and Socialist leader has called for the resignation of the head of a mega-structure, which groups all big state-owned energy firms, citing clash of interests.

“The recently elected director of the Bulgarian Energy Holding should quit, because she has breached the Clash of Interests Law,” Sergey Stanishev said on Tuesday in the Black Sea town of Varna.

Under local legislation civil servants do not have the right to be employed by a linked commercial company or a cooperation.

According to Stanishev Maya Hristova has breached the law, since she served as Deputy Economy and Energy Minister before her appointment n the energy holding.

Stanishev reiterated his party’s concerns over the lack of clear and consistent governmental policy in the energy sector, which according to him can hurt the country. He expressed full support for Belene nuclear project and accused everyone who works against it of being a servant of foreign interests.

Stanishev underlined that there are clear signals that Russia will not hesitate to change the course of the Shouth Stream gas pipeline so that it excludes Bulgaria and said this would incur big losses.

"Who is to be held responsible for that policy? There is only one man and this is the prime minister,” he said, referring to Boyko Borisov.

Bulgaria's prime minister ordered the dismissal of Maya Hristova, Deputy Energy and Economy Minister, at the beginning of June in a bid to increase the efficiency in the energy sector and streamline the operations of the energy companies.

Shortly after coming into office in July Bulgaria's Prime Minister Boyko Borisov announced plans to close the mega-structure Bulgarian Energy Holding that groups all big state-owned energy firms, but failed to push them through.

The cabinet subjected the Bulgarian Energy Holding to financial checks to find out how the money poured into it for raising its capital has been used.

The Bulgarian Energy Holding was created in 2008 with the merger of five state-owned companies - the National Electric Company NEK, the gas monopoly Bulgargaz, the Maritza Iztok Mines, the Maritza Iztok 2 Thermal Plant, and the Kozloduy Nuclear Power Plant into a EUR 4 B energy giant.

The holding is a sole owner joint-stock company with a 100 % Bulgarian state ownership.

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