With the entry into force in November 2023 of the Consumer Transport Compensation Act , persons producing petroleum products from crude oil originating in or exported from Russia are required to make monthly payments to compensate consumers for transportation costs.
The amount of the monthly payments shall be determined by the Minister of Economy and Industry by the 15th day of the current month according to the formula under Article 4 paragraph 1 of the Act.
The contribution for the month of December 2023, in the amount of BGN 69,904,372, was determined by Order No. RD-16-33/15 January 2024 of the Minister of Economy and Industry.
Data for the calculation of the payment are taken from:
The average monthly price for December 2023 of Brent crude oil based on statistics from the U.S. Energy Information Administration for Europe Brent Spot Price FOB (Dollars per Barrel) as follows: USD 77.631 per barrel.
https://www.eia.gov/dnav/pet/hist/rbrteD.htm
Average monthly price for the month of December 2023 of crude oil originating in or exported from Russia based on EU Council Decision (CFSP) 2022/2369 of 3 December 2022 amending Decision 2014/512/CFSP concerning restrictive measures in view of the actions of Russia destabilising the situation in Ukraine as follows: USD 60 per barrel.
https://eur-lex.europa.eu/legal-content/BG/TXT/PDF/?uri=OJ:L:2022:311I:FULL
The value of the payment in BGN is calculated at the average monthly BNB exchange rate of BGN 1.795 per USD 1.
https://www.bnb.bg/Statistics/StExternalSector/StExchangeRates/MonthlyExchangeRates/index.htm
The payment is on petroleum products produced on the territory of the Republic of Bulgaria from crude oil originating in Russia or exported from Russia for the month of December 2023 for the quantity of litres of petroleum products with CN code 27 10, exported from a tax warehouse for the month of December 2023, produced from oil originating in Russia or exported from Russia, according to the data submitted by the Customs Agency.
The Government has also approved the Individuals Financial Support for Transport Programme. It was developed by the Ministry of Labour and Social Policy and the Ministry of Economy and Industry in implementation of the Consumer Transport Compensation Act It stipulates that the monthly payments collected in the Electricity System Security Fund on petroleum products produced in Bulgaria from crude oil originating in Russia will be used to compensate consumers for the costs of transportation in accordance with the terms and conditions set by a decree of the Council of Ministers.
The aim of the programme is to complement the government’s package of support measures aimed at families with children in Bulgaria.
With its implementation, it is expected that about 300 000 families with children from vulnerable groups will receive compensation of up to BGN 300.
The funds will be paid by the Social Assistance Agency ex officio to families who receive monthly childcare benefits until the completion of secondary education, but not more than 20 years of age, in the period from 01 December 2023 to 29 February 2024. Eligible families do not need to apply to receive the compensation.
Family Child Benefit is income-tested, ensuring that the Government’s programme will assist households that are struggling to meet their increased transport costs.