Economics
A total of BGN 185 mln from the Bulgarian budget earmarked for financing environmental projects
EC will not grant us funds for ineffective activities. We cannot halt them, explained the Ministry of Environment and Water
04.02.2010
Raya Atanassova
It might be necessary that total of 185 mln be allocated from the national budget for construction and technical assistance on projects, which the European Commission considers ineffective, said Ivelina Vasileva, Deputy Minister of Environment and Water (MEW), in a report on OP Environment at a parliamentary session of the Environment Committee. In January, the EC sent a letter announcing that there was a danger for the programme to be halted. Its inspection showed that many projects were of inflated prices, but funds were allocated to small sites.
Overall, 29 investment projects under OP Environment were approved for construction of wastewater treatment facilities and sewerage. Five of them, at the cost of €40 mln, will be suspended. Another six will be temporarily blocked until established what adjustments should be made. It became clear that in Ruen municipality, for example, the financial adjustment will amount around €7 mln - 17% of the entire project.
Other 157 projects were for technical assistance. Only 5 of them were perfect and a total of 32 will be suspended. The majority of sites were already launched. If we halt them, the municipalities will have problems with contractors, clarified Malina Krumova, Director of Cohesion Policy Directorate in MEW. The funds on the suspended projects are not lost and can be used to finance others under the programme, explained Krumova.
The Environment Ministry reported that projects in the municipalities of Sozopol, Nessebar and Ruen were submitted for the verification of the Prosecutor’s Office. They were financed by the Enterpise for Management of Environmental Protection Activities (EMEPA).
As a result, commitments under the contracts concluded have been exceeding repeatedly the free financial resources. The commitments undertaken without provided funds increased from BGN 5, 290 mln in 2009 to BGN 95, 953 mln, or 18 times.
