Minister Pavlova: 86% of the budget of Operational programme “Regional development” are disbursed

86% or approximately BGN 2,7 billion of the total budget of OP “Regional development” (OPRD) are disbursed to the beneficiaries, announced the minister of regional development, Lilyana Pavlova, during the 1st joint session of the Monitoring Committees  of operational programmes “Regional development” 2007-2013 and “Regions in growth” 2014-2020.

In her speech the regional minister reminded that programming period 2007-2013 is the first one in which the country participates, the activities started later with projects that were not quite complete. During the years we have been able to make up for this backwardness, we met a lot of challenges, said Pavlova. According to her words, with the payments made so far thousands of sites have been improved as part of more than 1 100 grant contracts under OPRD. She reported that 902 of the projects are completed. Renovation activities has been completed and energy efficiency measures have been implemented in more than 450 school buildings, 400 kindergartens, 43 universities and 72 cultural buildings.

Family-type accommodation centers of children have been built while every town in which a project for improvement of the urban environment is implemented looks better, noted the regional minister. She pointed out that BGN 165 mln. have been invested so far in rehabilitation of 121 tourist attractions. The healthcare sector has received grant financing totaling more than BGN 200 mln. with which 17 state and more than 30 municipal hospitals have been renovated and received high-tech medical equipment mainly for oncology diseases, emphasized the minister and added that due to this fact the Bulgarians would not have to travel abroad  in order to receive the necessary medical treatment.

The regional minister noted that when OPRD 2007-2013 started limited funding was allocated to fire safety and risk prevention. We invested BGN 100 mln. and now more than 200 fire engines and rescue vehicles are purchased.

More than BGN 400 mln. are the investments in urban transport, said Pavlova and explained that 200 buses and 60 trolleybuses have been purchased so far as well as intelligent systems for traffic management have been implemented.

Although with a small funding, the initiative JESSICA is quite successful, noted the regional minister. We draw additional resource to the grants from the operational programme and so we tripled them, said she. As a result a lot of important projects have been implemented, said Pavlova. She explained that for the new programing period the provided resources for financial engineering are increased ten times as much. I hope that the effect from them would be significantly multiplied, said the minister.

Pavlova emphasized as well the challenges to the implementation of the programme until the end of the year – completion of the projects that are under implementation and payments to the beneficiaries of these projects. She pointed out that at the moment there are 49 risk projects. For 6 of them which are at the amount of BGN 10 mln. there is a lack of concluded contracts for the main projects activities, therefore, they are likely to be terminated. For the other 43 there is a possibility that half of the activities might not be completed and to have to be paid by the beneficiaries, explained the minister. I am positive that through the weekly control of the projects’ progress and action plans it is possible that most of these projects would be completed by the end of the year, stated she.

The deputy minister of regional development, Denitsa Nikolova, informed that the assessment of the net impact of OPRD 2007-2013 made through macroeconomic analysis shows increase of the country’s GDP with more than 1% as a result of the invested resources from the programme. Public investments have been increased more than 15% while the private ones – 2,5%.

In regard to Operational programme “Regions in growth” 2014-2020 minister Lilyana Pavlova noted that until 2018 most of the projects have to be completed and the grants disbursed in order to meet the target values. She explained that in the 39 municipalities which are eligible to receive funding under the first priority axis intermediate bodies are established and investment programmes are developed. The grant procedure for energy efficiency in 28 small municipalities is already launched, added the minister.

To the end of the year wouldl start the support for sector Education. First would be the project for professional secondary schools, followed by those for universities, informed Pavlova. Road Infrastructure Agency would have the opportunity to apply with its strategic projects as well, added she. 

During the first six months of the implementation of OPRG 2014-2020 most of its resources will be provided for contracting. I expect that in 2016 there would be approved projects, while in 2017-2018 there would be completed tender procedures and projects, said the regional minister. Our programme is specific, with diverse activities, therefore, it is important for us to have a good balance of the implementation of all axis, added she.

The representative of Directorate General “Regional and urban policy” in the European Commission and head of the unit, responsible for Bulgaria, Marek Teplanski, stated that if we would like to achieve success in the implementation of OP “Regions in growth” 2014-2020, the status quo should not be maintained. We have to learn from the previous programming period, avoid the bad practices and to follow the methods that work well, said he. According to him, when talking for implementation we should not be satisfied only with improvement of the business environment. It should be kept in mind that changes in legislation are observed as well.