The Energy and Water Regulation Commission (EWRC) of Bulgaria has approved the business plan for Sofia’s water and sanitation operator, “Sofiyska Voda,” for the 2022-2026 period.
The decision, made during a closed meeting, will result in a rise in water prices for domestic users in Sofia, effective from October 1, 2024, according to a statement from the EWRC press center.
Under the newly approved plan, the price of water for domestic consumers will increase from the current rate of 2.94 leva per cubic meter to 3.52 leva, including VAT.
This marks a significant jump in water costs, although further price increases are projected over the coming years. By 2025, the price is expected to rise to 3.64 leva per cubic meter, eventually reaching 3.80 leva by the end of 2026.
Despite these hikes, the water prices in Sofia will remain below the social tolerance threshold, which ensures that the cost is affordable for most residents.
In fact, Sofia’s rates will continue to be among the four lowest prices offered by major and medium-sized water operators across Bulgaria, maintaining a competitive edge within the national market.
Investment in Infrastructure and Innovation
A key aspect of the approved business plan is the extensive investment strategy set to be implemented by “Sofiyska Voda” during the regulatory period.
The company is planning to invest a total of 260 million leva from 2022 to 2026, with an annual average investment of 50 million leva.
These funds will be used to upgrade and expand Sofia’s water and sanitation infrastructure, with a focus on reducing water losses and enhancing the overall efficiency of the network.
“Sofiyska Voda” has been operating without an active business plan since 2022, but the company has continued to invest in infrastructure improvements during this time.
The newly approved plan formalizes the investments and sets clear targets for the future. The operator has also met additional commitments made to the Capital Municipality regarding improvements to the city’s sewage network, further ensuring the reliability of services provided to residents.
A major goal of the business plan is to reduce water losses in the network, which have been a persistent issue for “Sofiyska Voda.”
By the end of the regulatory period in 2026, the company aims to lower water losses to 33.29%, which is significantly lower than the national average for water operators in Bulgaria.
This reduction will be achieved through infrastructure upgrades, modern water management practices, and the introduction of new technologies aimed at better monitoring and controlling water flow.
Digital Transformation and Innovation
In addition to infrastructure upgrades, “Sofiyska Voda” is prioritizing digital transformation and innovation initiatives as part of its long-term strategy.
The company plans to integrate advanced technologies into its operations, including smart metering and automated monitoring systems.
These technologies are expected to improve the accuracy of water usage data, reduce operational costs, and provide better service to consumers.
By investing in both physical infrastructure and digital systems, “Sofiyska Voda” is positioning itself as a modern water utility capable of meeting the growing demands of Sofia’s population while ensuring environmental sustainability.
Conclusion
As Sofia’s water prices rise, consumers will experience higher costs, but they will also benefit from significant improvements in the city’s water and sanitation services.
The investments planned by “Sofiyska Voda” promise to modernize the water supply network, reduce waste, and bring innovation to the forefront of the utility’s operations.
With the EWRC’s approval, the company is set to make substantial progress in ensuring a reliable and efficient water system for Bulgaria’s capital in the coming years.