asked the state to declare a transport emergency
situation as a way to protect their business and surmount
the negative effects of high fuel prices. The possibility
of declaring a transport emergency situation is legislated
for and can last up to six months. Transport companies
see it as a way to stop foreign firms from operating
on the Bulgarian market. Transport companies
have been staging ongoing protests against the high prices
of diesel and excise duties. Their demands have been
sent to the Transport Ministry. Companies are demanding
the lowering of fuel excise duties and the abolition of
road vignette stickers. As part of a trade-off on the latter,
road carriers have demanded to be consulted when prices
are calculated.
Photo: KRASSIMIR YUSKESSELIEV
On May 23, Bulgarian National Television (BNT) reported that 50 of the biggest domestic transport companies have increased ticket prices by between five and 10 per cent.
The announced increase, which immediately caused a brouhaha, was the result of high fuel prices and excise duties, as well as unfair competition between rival companies, BNT said.
Three days later, Sofia mayor Boiko Borissov announced that, as of July 1, the price of a public transport ticket in the capital would increase by 0.3 leva, reaching one lev. The reason cited was once again increased fuel prices and the forthcoming rise in electricity prices.
Bulgarian-language media reported that air carriers would also raise prices because of significantly rising overheads. The inevitable rise in ticket prices could trigger a downturn in passenger numbers and lead to the worlds aviation industry incurring $40 billion losses this year, Dnevnik daily quoted a Bloomberg report as saying. Monitor daily even quoted some figures about increased prices in Bulgaria.
The Sofia Echo contacted some of the main bus and air carriers in the country to ask them about price increases and whether they anticipated falling passenger numbers. However, our investigation revealed a discrepancy between hearsay and actuality.
Bulgarian-language media reports said that flag carrier Bulgaria Air would raise prices by three euro. But when we contacted the companys information centre they denied the rumour. We dont have any such instructions, a company representative replied.
Air France had raised prices a fortnight ago following the rise in fuel costs. The overall increase, passed on to customers, was four euro for European routes. Prices for overseas routes rose by 10 euro, the companys Sofia office said.
Austrian Airlines told The Sofia Echo that they would not be increasing fares: Our prices are fixed. The only variable is airport fees, which are set by the airports, they said. These fees had risen and may indeed rise again. However, the increase only amounted to a couple of euros, the airline said.
Representatives of low-cost air carrier Wizz Air told The Sofia Echo that their tariff always starts from the lowest possible base value until fares at that rate run out. Hence, their prices would not change.
As for bus transport, Union Ivkoni, one of the biggest coach carriers in Bulgaria, increased prices by an average of 10 to 15 per cent. Thats around two leva, Ivan Dobrev, the domestic routes manager, told The Sofia Echo. Price changes affected only domestic routes because international routes depended on other factors and, moreover, other fuel stations. Prices have already affected passenger numbers. When quality fails to improve but prices rise this leads to declining numbers of passengers. In that case, obviously, people travel only when they really have to or, alternatively, they search for other means of transport, he said.
Slav Monov, head of Biomets bus transport department, told The Sofia Echo that their increase was minimal, amounting only to one lev for one-way tickets on middle-distance routes. The price of a one-way ticket to Varna was raised by two leva. The round-trip tickets increase for the same route was again two leva. Biomet did not expect passenger numbers to fall. We do have some decrease at the moment but we attribute this to mass psychosis, he said.
After the price increase, a bus trip from Sofia to the coastal city of Varna will cost between 29 or 30 leva for a one-way ticket and from 52 to 55 leva for a return ticket. The trip to Bourgas costs between 20 and 26 leva one-way and 36 to 44 leva for the round trip.
The bus carriers main competitor, state railways BDZ, offers trips to Varna for 23.90 leva and 20.40 leva to Bourgas. The round trip tickets are 40.20 and 33.90 leva respectively.
In addition to raising prices, domestic transport companies also launched protests, but continued services. Their action coincides with a protest by cargo carriers against the high prices of fuel and excise. Bus companies, however, disassociated themselves from the cargo carriers demands. One of their main problems, they claimed, was the unfair state support for BDZ.
