The national energy policy of Bulgaria comprises a set of measures involving the country’s laws, treaties and agency directives. Additionally, the integration of the country in the European Union created a framework under which Bulgarian authorities are obliged to shape the national energy policy. Hence, the attributes of energy policy includes national legislation and directives of international treaties. The energy policy of Bulgaria is defined by the Council of Ministers of Bulgaria and the Ministry of Economy and Energy. Additionally, the Minister develops and proposes to the Council of Ministers strategic trends and programs for the development of the sector.

The Bulgarian economy is undoubtedly more energy- intensive when compared to the other member states of the European Union. This is illustrated by the fact that the national target of Bulgaria is to envisage the energy intensity of the national Gross Domestic Product (GDP) by 50% before 2020 while the EU-wide target is a 20% reduction for the same indicator. This is largely attributed to the fact that coal in Bulgaria is the only local compact energy resource for electricity generation and it is the source of energy independence and long-term employment. Unfortunately though, local coal is of low-calorific value, with high content of sulphur, dust and nitrogen oxides, and power generation from coal is a main source of greenhouse gas emissions. Therefore, if the country wants to reduce its greenhouse gas emissions should severely limit the operation of its coal-burning power stations or even close them down completely.

Nevertheless, the significance of local coal for energy security is incontestable, a fact that the Bulgarian energy policy should always take into consideration. Consequently, the country is difficult to completely abandon the use of coal. Thus, the most possible course of action that the country will follow is to make the proper technological developments towards generating efficiency and clean coal technology.

The coal production in Bulgaria amounts to 28,4 mln tons. Lignite coal predominates in the structure of the produced coals with a percent of 89,5% and is followed by brown coal with 10,4% and black coal with 0,1%. Accordingly, The total production of lignite coal is 25,4 mln. tons and the main producer is “Maritsa Iztok Mines”. Other producers of lignite coal are the coal mines “Beli Breg” (2%), “Stanyantsi” (2%) and “Chukurovo” (1%). The total production of brown coal is 3 mln. tons and is mainly produced at Bobovdol (1,5 mln. tons) and Pernik (1,4 mln. tons) basins. Finally, the production of black coal is almost insignificant (18,1 thousand tons).

Regarding natural gas Bulgaria in 2007, imported 3.427 mln. m 3, this procured from Russia the only supplier for the country at this time. The local production of natural gas is 295 mln. m 3, and is conducted by “Oil and Gas Exploration and Production” AD and “Melrose Resouces” s.a.r.l.

Bulgaria has no significant amount of oil deposits and the national demand of oil is mainly ensured by imports. The main oil importer and processor is “Lukoil Neftohim Burgas”AD. In 2007 were imported 7,1 mln. tons of row oil which was with 0.5% more than in 2006. From the aforementioned amount of row oil 5,6 mln. tons of oil have been products. As it is already mentioned Bulgaria produces insignificant amounts of oil. The production has been performed by “Oil and Gas Exploration and Production” in Dolni Dabnik.

Renewable energy sources are a rather important factor in the current energy industry. In 2005 and according to the figures of Eurostat, renewable energy sources in the country amounted to 1 million toe, of which biomass (70%), electricity from HPPs (24%) and other renewable energy sources in final energy consumption (6%). This was equivalent to 9,4% of gross final consumption of energy in 2005. The energy production from renewable energy sources is not of an acceptable amount. This is the reason why the target for Bulgaria, as proposed by the Commission, is that in 2020, 16% of the gross final consumption of energy in the country should come from renewable energy sources. The main ways through which the country will achieve the aforementioned goal, is by increasing the power generation from renewable energy sources, by increasing the final consumption of renewable energy for heating and cooling and by using biofuels in transport.