Barriers and Opportunities for Pellet Markets in Central and Eastern Europe: Case Study – Bulgaria

Pellets are a form of biomass used in highly efficient heating systems. Thus, development of pellet markets could improve energy efficiency, reduce emissions of greenhouse gases, create employment opportunities, increase energy security, and improve air quality. The present research explores the development of the domestic pellet market in Bulgaria. The research’s objectives are to investigate barriers and opportunities for the development of the market. Findings from literature and conducted interviews establish the current status of the domestic market for pellets in Bulgaria. The study analyzes the political, economic, social, technological, legal, and environmental aspects of the market at present. It then, identifies barriers and opportunities for market development in Bulgaria. Changes in the forestry sector, in financial incentives for RES heating, and in energy strategy and policy making are suggested in order to overcome the barriers for market development. In addition, the market development in Bulgaria could be used as a case study for similar analysis in other Central and Eastern European countries due to identified shared trends and attributes.