ENERGO-PRO suspends the supply of electricity to the “Meden Kladenets” water supply in Kubrat
The danger of the city of Kubrat and 17 other settlements being left without water is due to a debt of more than 3 million leva
ENERGO-PRO Sales proposed to the Municipality of Kubrat, which is 100% owner of the water supply company “Meden Kladenets”, to guarantee the payment of outstanding obligations for the supply of electricity. The electricity supply company proposes to the City Council to vote on a protocol of agreement at the meeting of municipal councilors announced for today, December 7, 2018.
According to information available to ENERGO-PRO Sales, it is expected from January 1, 2019. Plumbing services in the territory served by the municipality of Kubrat, to switch to the separate territory of the association “Water Supply-Danube - Razgrad. This could lead to the liquidation of Plumbing “Meden Kladenets” and in the absence of assets, its liabilities become uncollectible.
The municipal water supply company “Meden Kladenets “owes ENERGO-PRO more than BGN 3 million for unpaid electricity bills. The debt has been accumulated for more than five years from the electricity consumption of pumping stations, treatment plants and deep drilling on the territory of the municipality of Kubrat. During this period, ENERGO-PRO has always sought solutions acceptable to both parties, taking into account the financial difficulties of the Meden Kladenets water utility and the Municipality. An open dialogue was conducted with all parties for a fair resolution of the situation and various options for rescheduling the accumulated debt were provided. So far, the Municipality has not implemented any of the possible options to solve the problem of indebtedness of its operator and thus allowed this increase in liabilities.
On November 28, 2018 ENERGO-PRO Sales issued an invitation for voluntary payment of the accumulated debt. Since then, the company has been conducting an intensive dialogue with a number of responsible institutions — EWRC, Ministry of Economy, Ministry of Regional Development and Public Works and DANS in search of assistance for a fair solution to the critical situation. After exhausting all possible measures to resolve the case, ENERGO-PRO proceeds to a final measure to stop the supply of electricity, for which Plumbing “Meden Kladenets” was duly notified with a prior warning from 28.11.2018. This deadline provided the necessary time and opportunity for the mayor and the City Council to take timely precautionary measures.
On December 6, 2018 ENERGO-PRO Sales sent to the City Council of Kubrat a protocol of agreement, in which the electricity company makes another proposal to postpone the payment of the debt until the end of 2019 and insists that the municipality, as the sole owner of the plumbing company, become the guarantor for this. In case the Memorandum of Understanding is not approved by the Municipal Council, ENERGO-PRO Sales will be forced to proceed to suspend the supply of electricity to the administrative building of Plumbing “Meden Kladenets” on December 10, 2018, and on December 12, 2018 to all other objects of the water supply company.
The City Council could adopt the debt rescheduling agreement at a meeting scheduled for December 7 and thus prevent the final cut-off measure planned for next week.
The interruption of the supply of electricity could lead to a lack of water supply both in the city of Kubrat and in 17 other settlements such as the Municipality and the management of Plumbing “Meden Kladenets” would take full responsibility for this.
ENERGO-PRO Sales takes this extreme measure to reduce the damage it has suffered for many years. Uncollected receivables are not an element of the approved regulated revenues of electricity distribution and final supply of electricity. The accumulated debt hampers the operational and investment work of the company and puts bona fide customers at a disadvantage by creating prerequisites for an imbalance of the energy system in North-East Bulgaria.
