AES Bulgaria has announced plans to transition its TPP Galabovo coal-fired power plant into standby mode, marking a significant shift in the country’s energy landscape. This decision comes after the expiration of a long-term electricity supply agreement with the state-owned National Electricity Company (NEK), which previously provided stable revenue through fixed-price sales.
The termination of this contract has rendered the continued operation of TPP Galabovo economically unviable. The transition is expected to occur within the next few weeks, during which a reduced workforce will remain on-site for essential maintenance and technical preservation. Approximately 350 employees will be impacted by this shutdown process.
Despite halting electricity production, AES Bulgaria is engaging with the Bulgarian government and industry stakeholders to explore potential pathways for the plant’s future role in maintaining national energy system stability. These discussions may lead to a revised operational or regulatory framework that could allow for a different utilization of the facility.
Historically, TPP Galabovo has been a crucial component of Bulgaria’s energy mix, contributing around 2.62 million MWh in 2025, which accounted for about 7% of national electricity consumption. Its closure signifies a notable reduction in the country’s coal generation capacity, reflecting broader trends in energy transition and regulatory pressures.
In parallel, AES Bulgaria continues to focus on its renewable energy initiatives within the country. The company’s Sveti Nikola wind farm, located near Kavarna, has emerged as a vital source of green energy, producing over 284,000 MWh last year, with particularly strong output noted in December.
