[size=75:373z0mlp]Sofia echo Dec 09 2009

Sofia water utility to raise tariffs

Sofia’s water utility company Sofiyska Voda has proposed a 12 per cent increase in tariffs from January 2010 to cover in increased costs for breakdown repairs, security and equipment storage rents.

The State Energy and Water Regulatory Commission (SEWRC) was expected to rule on the company's request by December 23 2009.

The watchdog had already trimmed the proposed hike to nine per cent, which would increase the going rate to 1.26 leva before VAT from the current 1.17 leva, instead of 1.32 leva as proposed by Sofiyska Voda.

SEWRC chairperson Angel Semerdjiev said the regulator would take into account dampened water consumption, which has caused a decline in the utility’s revenue. Sofiyska Voda said it had narrowed its losses to 56 per cent but the regulator put this at 60 per cent.

The proposal was part of a network overhaul project, funded with a loan from the European Investment Bank (EIB) and the EU’s Ispa programme, where the company was expected to invest 52 million euro a year in modernisation, while gradually hiking tariffs.

Investments in 2009 run at 46 million leva.

It seems to me that once all these countries join the eu which is suppose to make life better it just makes life harder for those who are already struggling and its not as though these companies need the extra revenue ????????????????