Media Review: November 24
Today’s roundup covers key developments around Varna’s mayoral case, the 2026 budget debate, shifting dynamics in the energy sector, and broader economic and social trends from infrastructure and urban policy to education and gastronomy.
Varna Mayor Case
Varna Mayor Blagomir Kotsev is heading to trial on charges of corruption, bribery, and malfeasance in office—allegations he and his supporters describe as politically motivated. For now, he remains in office with backing from his own political formation and from a major opposition party. The Municipal Election Commission (MEC) postponed a decision on whether to remove him for alleged prolonged and unjustified absence, as citizens gathered outside to show support.
Kotsev was detained on July 8 in an anti-corruption operation. Initially held in Sofia, where courts repeatedly declined to release him, the case has since been transferred to Varna. The city has been managed by his deputies on his authorization, and since November 12 he has continued performing his duties from custody. A Varna court is expected to review whether his detention should continue now that the investigation phase is complete.
The MEC requested additional documentation from the municipality before deciding on removal, voting to gather data on his absences and leave records. Kotsev’s defense argues the law focuses on whether an absence is justified rather than the type of leave, and notes that mayors are both employer and employee in legal terms. They also cite a provision that removal requires an effective sentence.
An updated complaint from a former municipal employee alleges Kotsev unlawfully used additional leave while in detention, prompting the Commission to seek more information. The session took place amid a large public turnout. Separately, a major party leader instructed the party’s MEC representatives to vote against removal, effectively blocking the necessary majority for ousting the mayor at this stage.
Budget 2026
Employers and unions continue to press for changes between the first and second readings of the 2026 state budget, arguing that their proposals to trim spending by roughly BGN 1.2 billion would help offset higher tax and social security burdens. Business representatives warn of a lack of structural reforms, predict a possible economic slowdown and higher unemployment, and say revenue projections may be overly optimistic.
Tension around the draft has risen among enterprises and local and sectoral employer groups, with calls for protest. Some analysts claim that the most significant reaction is already underway, citing reports of deposit withdrawals and capital relocating abroad. The ruling majority defends the framework, but divisions are visible both between and within political camps.
Energy Sector
A major regional utility group announced plans to invest around EUR 10.1 billion in renewables, flexible generation, grid expansion, and customer services across Southeast Europe, with implications for Bulgaria’s rapidly growing renewable and hybrid project pipeline and urgent grid reinforcement needs. In the nearer term, Bulgaria is set to receive EUR 25 million in grant funding under a regional mechanism through 2028 for energy communities, improved connectivity, and studies for pumped-storage projects, with additional national co-financing. The first energy community in Sofia’s Vitosha District is advancing, and interest is rising among citizens and businesses.
Recent rankings show leading Bulgarian energy companies maintaining top positions but with lower turnover compared to previous periods. Analysts warn that without reforms Bulgaria risks becoming a net importer of lower-cost electricity. Meanwhile, losses at a major state-owned mining complex have more than doubled year-on-year, surpassing BGN 200 million in the third quarter of 2025, even as wage expenses remain stable despite a reduced workforce. International sanctions developments have opened the door for a large oil company to divest parts of its business.
In foreign policy and energy governance, Bulgaria’s foreign minister described recent sanctions against Russian energy firms as a clear signal aimed at limiting resources for the war in Ukraine. He said Bulgaria responded swiftly with legislative changes expanding the powers of a special administrator in line with international expectations, facilitating a needed derogation. He welcomed efforts by the United States and European partners to reach a lasting peace, underscoring that nothing should be decided about Ukraine without Ukraine’s final say.
On electricity market reform, energy experts expect household compensation to continue in 2026, noting that the level is typically set midyear by the regulator. Previous broad support for businesses has been significantly reduced, now largely limited to major energy users and triggered only at high market price thresholds. A key pending reform—identifying energy-poor consumers for targeted support—has yet to be implemented.
Economy and Society
On euro adoption, a former senior European investment official emphasized that eurozone mechanisms do not require one member to pay another’s debt and that contributions are proportional to GDP. She framed the euro as a protective tool for savings and a cost reducer for businesses by eliminating currency exchange expenses.
Climate change is reshaping Bulgaria’s wine sector. Hotter summers are pushing red varieties northward, while southern areas grow too warm for traditional grapes. Consumers are also shifting: white wines now dominate sales, with some producers expanding into Mediterranean crops like olives—and in experimental cases, even bananas.
Sofia is preparing a broad parking reform intended to discourage private car use and channel revenue back into neighborhoods. Paid zones are set to expand, with about 60% of proceeds earmarked for local investments and annual revenue projected at around BGN 110 million. Reserved spaces for institutions may be reduced. Although new parking facilities have not been built this term due to funding limits, the reform aims to secure dedicated resources for such projects.
Bulgaria’s capital could soon be assessed for inclusion in a leading global restaurant rating system, following a proposal for an independent culinary audit—seen as recognition of the city’s growing gastronomic potential.
In education, proposed amendments to the Preschool and School Education Act—covering issues such as a classroom mobile phone ban, teacher evaluations, and a new subject on religion and virtues—have sparked intense debate. Lawmakers from across the spectrum have tabled numerous changes ahead of the second reading, and a sizable petition opposes parts of the package, setting the stage for a heated parliamentary session.
