The Energy Transition in Bulgaria: An Analysis of Economic, Social, and Environmental Perspectives on State-Owned Companies

As a member state of the European Union, Bulgaria is committed to decarbonisation and the achievement of sustainable development goals. The country has a well-established energy sector and is a net exporter of electricity produced from diverse sources. Electricity generation relies mainly on two key pillars: lignite-fired Thermal Power Plants (TPPs) and the Nuclear Power Plant (NPP) in Kozloduy. This study examines the status of Bulgarian state-owned energy companies (SOEC) and their capacity to respond to the challenges of a sustainable transition towards low- or zero-emission electricity production. The study contributes to the existing literature by providing insights from a comparative analysis of state-owned thermal and nuclear power generation in Bulgaria, examined through the lens of sustainable development. From a practical standpoint it contributes by outlining possible pathways for the sustainable transformation of carbon-intensive TPPs. The analy-sis is based on key sustainability indicators covering the three pillars of sustainable development—economic, social and environmental performance. It includes not only an assessment of the financial performance of state-owned thermal power plants and the nuclear power plant over the past five years but also selected social and environmental indicators. The findings suggest that nuclear energy production in Bulgaria is largely consistent with the core principles of sustainability, while coal-based thermal power plants face increasing economic pressures and contribute to significant environmental impacts. The results highlight the need to transform the coal-based electricity sector into a more economically viable and socially responsible alternative, such as low-carbon generation technologies including nuclear energy.