Article

New requirements for companies dealing in petroleum fuels

A new law regulating the trading in petroleum and petroleum products in Bulgaria entered into force on 28 January 2019 and introduced requirements for administrative registration of each economic operator who performs any of the following activities in the country:

  • Wholesale of petroleum and petroleum products;
  • Retail of petroleum and petroleum fuels through petroleum stations,
  • Filling of petroleum fuels in own tanks;
  • Storage of petroleum and petroleum fuels outside of tax registered warehouses;
  • Transportation of oil and petroleum products;
  • Refill of LPG bottles outside of tax registered warehouses;
  • Distribution of LPG bottles;
  • Temporary storage and/or filling tanks by farmers of their own petroleum products and for own use. 

The law sets certain requirements for financial and technical capacity, and a deposit to be paid for the economic operators to be registered for the specific activity they operate in.

Up to now, the application of the law was postponed until issuance of an ordinance to regulate the registration procedure and administration. On 23 July 2019 such ordinance was adopted.

According to the new ordinance all currently active economic operators shall complete a mandatory registration and prove their compliance with the new legal requirements until 26 October 2019. New market players must make the registration before they start the relevant activities in the country.  

A separate registration is needed for each activity the operator carries out. Upon registration (of one or many activities), a certificate (separate for each activity) is issued by the Minister of Economy ‘s administration.  If any changes to registered data occur, they must be notified within 7 days after occurrence.

The sanction provided for carrying out activity without being registered or for violation of the general or special conditions of the law are between BGN 25,000 and BGN 250,000.  In case of repeated violation shall be between BGN 50,000 and BGN 500,000. In case of violation, the legal representative of legal entity or sole-trader may be subject to sanction in the amount between BGN 1000 and  BGN 10,000.

For more information, please contact:

Pavlin Stoyanoff
Managing Associate Legal | Energy & Technology
Deloitte Legal Law Firm
103, Al. Stambolijski Blvd, Sofia Tower (Mall of Sofia)
D: +359 (2) 802 33 88 | M: +359 (88) 77 23 987
pstoyanoff@deloittece.com | www.deloitte.bg

Kristina Sterkova
Senior Consultant | Tax Services

Deloitte Bulgaria EOOD
103, Al. Stambolijski Blvd, Sofia Tower (Mall of Sofia)
1303 Sofia, Bulgaria
D: +359 (2)80 23 242 | M: +359 (882) 270 885
ksterkova@deloittece.com | www.deloitte.bg

 

 

 

 

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