Tax or trade: Community energy taxation in the context of climate neutrality

The instant paper considers the ecological taxation and emissions trading scheme as alternative market instruments for achieving carbon neutrality in the EU by 2050. In particular, the paper evaluates the capacity of thecurrent energy taxation framework to contribute to zero net emissions. The analysis shows that EU energy taxation is detached from energy efficiency and the increasing share of clean energy consumption, which are important milestones for achieving climate neutrality. Such misalignment between climate and energy goals increases the social price due for carbon neutrality by duplicating the cost for energy taxation and emissions trading within the same economic sector. In Bulgaria, highly vulnerable to duplication of climate neutrality cost are the households and business sector. The most energy intensive industries in this country manage to negotiate tax incentives with the government, since they are mobile and can relocate to any other jurisdiction

The tax-based own resources and ecological sustainability of the EU budget

The instant contribution deals with the forthcoming reform of the ‘own resources system’ of the EU budget. The aforementioned term denotes the revenue side of the common budget in Brussels. All 27 Member States (MSs) contribute annually to the own resources system in terms of sugar levies, import tariffs, VAT - and GNI-based payments. The latter is the most controversial budgetary item since it accounts for the bulk of EU funding, but is not considered a genuinely own resource by MSs. In order to limit EU budgetary dependency on GNI-based national contributions, for the next seven years, 2021-27, a group of experts proposed several tax-based resources. In the present paper, their capacity as genuine own resources for the EU budget is being critically evaluated. Furthermore, it is important for this research to discuss the implications of the suggested tax–based resources for the ecological sustainability of the EU budget

Monetary incentives of tax whistleblower programs: on their design and implementation

The instant contribution discusses the monetary incentives established in tax whistleblower programs. The latter have been already designed and implemented in some developed OECD countries. Tax policy makers in Bulgaria are also considering mandatory awards for whistleblowers from proceeds collected from evaded taxes and/or social security contributions. However, the monetary incentives built-in to a possible tax whistleblower program have sparked controversy in Bulgaria, a country with past experience in whistleblowing due mainly to political and/or ideological reasons. Nevertheless, tax evasion is widespread in this country with a tax gap of BGN 2,0 -2,2 billion. Therefore, in order to improve tax compliance and collection, a tax whistleblowing program in Bulgaria should be considered and designed with regard to the public-private partnership framework. It has been also suggested in this paper that the awards paid by the tax authority to the whistleblowers in Bulgaria should be exempt from personal income taxation. The whistleblower program in this country may become a productive, although non-conventional tool for tax policy, given that its monetary incentives are aligned with the recommendations of the international good practice

Green electricity subsidies in Bulgaria – vectors of (re)distribution

Government subsidies are usually targeted to confer benefits to consumers by lowering the prices they pay or to producers by raising the prices they receive. A relatively novel application of the public sector subsidies is within the renewable energy sector. Feed-in tariffs and feed-in premiums are among the driving forces behind the recent expansion of clean electricity generation, while the CO2 allowances allocated for free are projected to induce the conventional power plants in the new member states of the EU to invest the cost savings in environmental abatement. The current paper deals with the vectors of possible (re)distribution of the subsidies for green electricity in order to discern their progressive or regressive features in Bulgaria

Ecological standards and taxes: Three years after "Dieselgate"

The paper draws on the reflections of `Dieselgate`on two important instruments of the environmental regulation - emission standards and taxes from passenger cars. Although the scandal broke out in the USA, it negatively affected the EU automotive industry and its customers. `Dieselgate` compromised also the regulatory framework for environmental protection in the EU-28. Furthermore, the national governments are still missing a large amount of ecologically oriented taxes from motor vehicles due to the widening gap between real and official greenhouse gas emissions from passenger cars. Bulgaria is also negatively affected by `Dieselgate` through the massive imports of cheap diesel cars and their atmospheric pollution. The paper also discusses the obsolete taxes on registration and ownership of passenger cars in this country. It concludes that social and ecological justice are not substitutive, but rather complementary goods in Bulgaria

Recycling of carbon revenues in Bulgaria

he current paper deals with the recycling of CO2 allowances revenue, which Bulgaria receives at the regular auctions held within the EU Emission Trading System (EU ETS). Based on the normative and comparative approaches, the author concludes that the country has opted for a smart trajectory of carbon revenue recycling. The proceeds from national CO2 allowances are returned back to the Bulgarian economy fostering thereby clean electricity generation. EU ETS financial resources have been earmarked to the extrabudgetary fund “Security of the energy system”. In turn, the latter channels the income from CO2 allowances towards reduction of the green component in the price “Obligations to the public”. This recycling decision helps relieve the electricity cost burden of businesses and households in Bulgaria

Barriers to electricity prosumption of households in Bulgaria

Traditional energy system undergoes transition from completely relying on conventional to ever increasing share of renewable sources. The latter are crucial for decentralization and democratization of electricity generation. It becomes feasible even for households, many of which already belong to energy communities and active energy citizens. They produce and consume energy from own generating facilities. The research in this paper is based on the public registry of the Bulgarian Agency for Sustainable Energy Development. With regard to photovoltaic technology, the data provided shows very low adoption rate of electricity prosumption by households - both across the country and throughout the period 2011-22. According to the analysis, the current paper concludes that the missing and/or delayed regulations and the weak administrative capacity to implement and enforce them still hinder households willing to simultaneously produce and consume electricity. Some measures to “deinstall” the barriers to household prosumption have been proposed and critically evaluated

Public subsidies – a condition sine qua non for the energy sector in Bulgaria?

The current paper deals with the provision of public subsidies within the energy sector in Bulgaria. In light of the liberalization of the domestic market and its integration into the internal electricity market of the EU, the question about public subsidies’ persistence has been raised. Several arguments are given in support of further subsidization, both on the market for electricity and for capacity (cold reserve provision) in Bulgaria. Public subsidies secure funding for the positive externalities generated by the energy sector in a sustainable way. The public sector also provides financial support for the emerging Bulgarian market of capacity. Nevertheless, energy subsidies need a revision in terms of their restructuring in line with the EU ambition for leadership towards low-emission and climate-neutral economy by 2050

Extranodal natural killer/t-cell lymphoma - nasal type - `midline lethal granuloma` - a case report

Introduction: The numerous lymphoid neoplasms vary widely in their clinical presentation and behaviour, and thus all present challenges to clinicians. Approximately 0.17 - 1.5% of all Non Hodgkin`s lymphomas (NHL) are with a fractional amount involving the nasal cavity and paranasal sinuses. NHL nasal type is rare and aggressive. It typically causes local destructive midfacial necrotizing lesions, damaging of cartilage, bone and soft tissues. However, extranodal type of NHL is hard to recognize and treat.Materials and methods: A 70-year old female patient was admitted to the the `St. Marina`, University Hospital, Varna complaining of recurrent episodes of nasal infections and night sweating.Results: A physical examination reveals a palpable mass on the right side of the nasal cavity that caused partial nasal obstruction, breathing problems. In addition to that, splenomegaly (140/56mm) was found. An extended parenchymal structure infiltrating the underlying soft tissues of the right ala nasi 75/23mm in size was found during a computed tomography scan. Differential diagnosis between neuroblastoma and lymphoma was considered after performing a biopsy. Subsequent immunohistochemical tests and trephine biopsy confirm the diagnosis to be Extranodal NHL. The patient was admitted to the Haematology Department for chemotherapy with regime CHOEP - Vincristine, Etoposide, Endoxan, Episindan and Prednisolone. Haematological partial response was achieved after only three cycles of the therapy. The treatment was followed up by radiotherapy.Conclusion: Non Hodgkin`s Lymphoma nasal type is considered as a fast progressing, nonrelenting tumor. Its ambiguous symptoms and the difficulties of obtaining a histological diagnosis result in postponement of the initial therapy. Despite that, advancements in immunohistochemistry help in achieving admirable results