Coal market in Bulgaria

Earlier Report Observations

From 2018 to 2020, Bulgaria's coal market contracted significantly, with volume dropping from 31.3 million tonnes to 22.6 million tonnes. This decline was driven by European Union climate policies that reduced coal consumption across the region by about one-third over two years, prompting the closure of coal-fired power plants. The introduction of the EU Emissions Trading System (ETS) in Bulgaria in 2020 raised production costs for coal-based electricity, further eroding its competitiveness. Additionally, the recommissioning of units at the Chaira pumped-storage hydroelectric plant increased grid flexibility, reducing the need for coal in the energy mix.

After the sharp drop in 2020, the market rebounded in 2021 and 2022, reaching 37.1 million tonnes by the end of the period. Imports of coal rose substantially in 2022, contributing to the overall market expansion. Although European carbon quotas and competition from cheaper renewable energy in neighboring countries continued to pressure the domestic coal sector, the market volume recovered strongly during these two years.

In the following years, coal imports fell back to 523 thousand tonnes in 2023 and 301 thousand tonnes in 2024, while exports saw a spike in 2023 before dropping sharply. These trade shifts reflect ongoing adjustments in Bulgaria's coal market amid the broader energy transition.

Production coal in Bulgaria

In kind, 2017-2020, K t

Bulgaria was among the world's top coal producers from 2017 to 2020, ranking 18th globally by production volume during this period.

Top producers of coal, 2017-2020

World map of production of coal, 2017-2020

In 2020, Bulgaria produced 22 000 K t of coal, marking a 27.8% decrease compared to the previous year. Over the 2017-2020 period, production fell by 36.4%, with a compound annual growth rate of -14.0%. The most stable year was 2019, when production remained unchanged.

Annual dynamics of production in Bulgaria in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Bulgaria's coal production declined for the third consecutive year. In 2020, the output was valued at 1 186 M $ US, showing a sharp year-on-year decrease of 35.9%. Between 2017 and 2020, production dropped by 59%, which translates to an annualized rate of -25.7%.

Annual dynamics of production in Bulgaria in value, 2017-2020, M $ US

Exports coal from Bulgaria

Exports in kind, K t

After two years of growth, Bulgaria's coal export volume declined. In 2020, the country exported 34.9 K t of coal, which is 37.9% lower than the previous year. Over the 2017-2020 period, exports decreased by 31.4%, with a compound annual growth rate of -11.8%. The peak was recorded in 2019 at 56.2 K t, while the largest increase occurred in 2018 at 6.0%.

Annual dynamics of product's exports from Bulgaria in kind, 2017-2020, K t

From 2017 to 2020, Serbia dominated Bulgaria's coal export structure in kind, accounting for 80.5% of total flows. Other markets played a less significant role during this period.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Bulgaria in kind, 2017-2020

Exports in value, M $ US

Bulgaria's coal export volume declined for the third consecutive year. In 2020, exports totaled 1.9 M $ US, down by 44.8% year-on-year. Between 2017 and 2020, exports fell by 55.7%, equating to an annualized rate of -23.8%.

Annual dynamics of product's exports from Bulgaria in value, 2017-2020, M $ US

From 2017 to 2020, Serbia, North Macedonia, and Romania were the leading destinations for Bulgaria's coal exports in value terms. Serbia accounted for 61.9% of exports, North Macedonia for 12.1%, and Romania for 11.1%, together making up 85.2% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Bulgaria in value, 2017-2020

Imports coal to Bulgaria

Imports in kind, K t

After a two-year decline, Bulgaria's coal imports increased. In 2020, imports totaled 606.7 K t, up by 6.3% compared to the previous year. Over the 2017-2020 period, imports decreased by 34.6%, with an annualized rate of -13.2%. The lowest point was in 2019 at 570.8 K t, which also saw the largest decline of 32.4%.

Annual dynamics of product's imports to Bulgaria in kind, 2017-2020, K t

From 2017 to 2020, Russia, Ukraine, and South Africa were the key sources for Bulgaria's coal imports in kind. Russia accounted for 52.7% of imports, Ukraine for 22.5%, and South Africa for 10.3%, together representing 85.6% of total flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Bulgaria in kind, 2017-2020

Imports in value, M $ US

Bulgaria's coal imports declined for the second consecutive year. In 2020, imports stood at 63.7 M $ US, reflecting a significant drop of 20.9% over the past year. Between 2017 and 2020, imports decreased by 35.4%, with an annualized rate of -13.6%. The highest value was recorded in 2018 at 105.4 M $ US, which also saw the largest increase of 6.9%, while the largest decline occurred in 2019 at 23.6%.

Annual dynamics of product's imports to Bulgaria in value, 2017-2020, M $ US

From 2017 to 2020, Russia, Ukraine, and Latvia consistently led Bulgaria's coal import structure in value terms. Russia accounted for 53.4% of imports, Ukraine for 21.9%, and Latvia for 11.2%, jointly making up 86.5% of total flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Bulgaria in value, 2017-2020