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Planned for Bulgaria around 12 billion BGN (6,200 million euros) The subsidies from the European Union to face the coronary crisis are insufficient for the ambitious government plan.
Bulgaria is ready with 60 projects for 20 billion BGN For this reason, the framework of project proposals is currently being reduced, selecting “the highest quality and with the highest added value”. This was said by the Deputy Prime Minister for EU Funds, Tomislav Donchev, during the parliamentary control, but did not indicate what the possible projects are.
He presented an optimistic outlook of the absorption of the forecast for Bulgaria about 29 billion euros in total during the new programming period 2021 – 2027 and thus responded to criticism from the BSP that our country does not have a plan of how it will spend the money under the new Recovery and Sustainability Mechanism. The same criticism was made by the MEP of “democratic Bulgaria” Radan Kanev as soon as European leaders approved the EU budget framework for the next 7 years.
Presenting a plan on how the money will be spent under the new mechanism is one of the conditions for Bulgaria to receive the funds. (Each country presents this plan to the EC). “Thanks to this plan, the entire EU economy must become stronger, bolder, faster, more ambitious and able to compete with our global partners and competition. And all of this must be combined with reforms … This money must invest in areas of reconstruction, development and reform “said Tomislav Donchev.
“We must pursue the most ambitious goal of presenting the plan by the end of this year, early next year.”announced the deputy prime minister. The deadline for submitting plans under the new mechanism is April 30, 2021.
“If a few months ago you said that this famous plan would be ready in the fall, today you just said that it will be ready by the end of the year and the beginning of the next.”, Reminded him the deputy of the BSP Dragomir Stoynev. He questioned the government’s ability to carry out the necessary reforms. The BSP also demanded that the plan be discussed in parliament.
Tomislav Donchev pointed out that Bulgaria is “in the first tier of EU countries” and with respect to the Association Agreement for the new programming period 2021 – 2027 to be able to spend the rest 16.7 billion euros under operational programs. The first version was sent to the EC at the end of March, and in October it will be presented and updated, which will reflect the changes of the meeting of European leaders at the end of July.
“A much more mature version will ship on October 20.”Donchev said about the Association Agreement that our country must sign with the EC for the next 7 years.
The project plan is a mystery for now
The submission of a plan to spend European money on the coronary crisis in the EC is a mandatory condition for its allocation to the country. Each country’s plan must be aligned with reforms that contribute to environmental and digital transitions and stimulate growth and employment, and reflect the recommendations that the EC makes to each country. For Bulgaria, these are reforms and investments in the sectors of energy efficiency, healthcare, education, the circular economy and the labor market.
Tomislav Donchev did not specify what the 60 projects are for BGN 20 billion, but specified that all measures will be carried out as a combination of grants and financial instruments.
Most likely, this means that our country, in addition to the € 6.2 billion grant, will also benefit from the option of taking out more loans under the new Recovery and Sustainability Mechanism. Bulgaria is entitled to loans of up to 4.5 billion euros on very favorable terms. Our country has already obtained a BGN 1 billion loan under the new SURE instrument to maintain employment, which is one of the various areas of the new mechanism.
However, the EU Deputy Prime Minister for Funds outlined the framework of the plan and the areas in which the billions will be invested.
“This must be a plan that, firstly, increases the capacity of public systems to respond to shocks and risks. Here I will first mention health, but it is also security and education systems. Secondly, it must be a plan to help the economies and societies of the Member States to recover their economies “Donchev said.
Approximately 1,200 million euros for energy
Funds from the new Recovery and Sustainability Mechanism are spent in seven areas.
One of them is called Just transition fund, of which for our country are provided 1,200 million euros.
“One instrument is the so-called Just Transition Fund, which is supposed to finance decarbonization policies. It has a total value of € 1.2 billion and is divided into two parts with different spending periods. One part is until 2026 the other at the end of the 2027 programming period plus 3, that is, by 2030 “.Donchev said.
However, Dragomir Stoynev replied that the state initially expected to receive 2 billion euros under this fund, but it was cut.
About half of the 1.2 billion euros will go to energy reforms, energy efficiency in public and private buildings and industry, Donchev said.
The other half (678 million euros) The EC grants them to Bulgaria for the closure of the TPPs. Brussels insists that these funds be used to solve problems in the three coal regions: Stara Zagora, Bobov Dol and Pernik. However, the Bulgarian government does not want such a territorial restriction to be able to spend from this fund throughout the country. The argument is that there are industries that pollute the environment everywhere. The only exception is the Dobrich district, which will not be eligible for support.
The remaining 5 billion euros will be invested in the reindustrialization of the country, the creation of economic parks, in the digitization of the public and private sector, in the health and education systems, Donchev said. He said that it is planned to create a fund of 500 million levs, through which to finance all the “avant-garde discoveries” that will be made in our country.
And the rule of law?
BSP MP Krum Zarkov said that from everything Donchev said, people were under the impression that some money would come from the EU. “However, this is not the case. It will take a very serious effort to show that we deserve this support.”Zarkov said.
In this sense, we are concerned that what is happening in the country, its repercussions abroad, the loss of confidence in the government, which they represent, which can guarantee equity in the spending of European funds, could also be a problem in absorbing this money. which should help restructure our economy and overcome the effects of the serious crisis “Zarkov said.
He asked what specific reforms were envisaged in the national plan regarding the rule of law. This is a condition for the EC to allocate the money to Bulgaria.
Donchev responded that the issue of the rule of law is not new. He recalled that in the expiring programming period (2014-2020) each Member State had to fulfill the preconditions if it wanted to access funding. He explained that the EC will ask for preliminary guarantees that the reforms will be carried out in order to grant us the funds even now.
“This issue is fully applicable to funds that are spent during this programming period. Our position has always been that the rule of law should be a precondition for the ability to spend money. A country where it cannot be spent guarantees transparency, an impartial judiciary should not be funded for obvious reasons. Firstly, that this is contrary to European values and secondly, if we do not have an impartial judiciary, how can we ensure that the money is spent in the right way? correct? “said Tomislav Donchev.
He added that he does not condone the technology used to make things happen, as there is no clear and objective criteria system. “The issue of the rule of law must not be allowed to be subjective and the debate on what the rule of law means must continue.”Donchev said.
Donchev for the protests
The deputy prime minister also commented on the anti-government protests, which have lasted for 72 days, but neither Prime Minister Boyko Borissov nor Chief Prosecutor Ivan Geshev intend to resign. Since yesterday, the protesters have also demanded the resignation of the Speaker of Parliament, Tsveta Karayancheva, due to the expulsion of mothers of children with disabilities from parliament.
“This energy, which is part of the Bulgarian society that is in the squares, will be wasted if it does not lead to change. Our common task is to do it in the best way. What needs to change: the legislative framework, including in the constitution, to that the state can perform one of its main functions: to do justice. The anger comes from the fact that a large part of Bulgarian citizens have doubts that the state is capable of doing justice. “Donchev commented. He added that when there is no sense of justice, citizens do not see the sense of the State.
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