The rise in fuel prices could not have been avoided because Bulgaria does not set oil prices on international markets. Former energy minister Delyan Dobrev made the statement in a television interview.
He said oil prices are shaped by military conflicts and fears of shortages. Those factors push the price of oil higher, while higher prices in turn reduce consumption. Dobrev described these developments as natural market processes.
He believes there is enough competition in the fuel market. If prices are not aligned with market conditions, he said, importing companies will emerge and bring fuel from other countries, pushing prices back toward market levels.
Dobrev urged caution when comparing percentage increases. He gave the example that a rise from €1 by 50 euro cents represents a 50% increase. If the starting price is €1.50 and it rises by the same 50 cents, the percentage increase is 33%, even though the cash increase is identical.
“When you have a very low base, the percentage looks high for the same price increase,” he said. In his view, figures can easily be used misleadingly, including by politicians, and should be presented honestly.
Dobrev noted that fuel in Bulgaria may have risen by 50%, but the 50-euro-cent increase is the same as in other countries. Prices there are higher because of larger excise duties, while Bulgaria has some of the lowest excise rates in the European Union.
He described the decision to allow diesel and aviation-fuel exports as a good one. In his view, it will increase refinery production and raise Bulgaria’s gross domestic product because it will enable the production of a product that otherwise would not be made.
The former minister explained that operating a refinery at 100% capacity rather than 50% could lower the cost per litre. Fixed costs would be spread across a larger volume of fuel, making production cheaper and potentially putting downward pressure on prices.
Dobrev also spoke about leaving politics, saying he believed he had stayed in it even too long. He now works in business and said he feels more satisfied outside politics. He added categorically that he would not return to political life.
As a humorous illustration of the change, he said he recently became ill and joked to a friend that it was because he no longer had immunity. His friend replied that the political environment had contained “germs” that kept his immunity strong, while there were no such germs outside politics.
Dobrev said he is no longer interested in politics and does not even watch the news, although he remains a member of GERB. He said he did not like any of the presidential candidates and would probably not vote for the first time in 30 years. In his view, GERB’s decision not to nominate a presidential candidate was a mistake.
Source: 24chasa.bg
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