As new EU member state and gate to the wealthy Asian market, Bulgaria will receive more than two billion euro for the development of trans-border corridor transport connections on its territory.
The money will be provided by the EU funds under the operative programme Transport. The programme will receive most subsidy of the seven Bulgarian operative programmes.
Under European Commission (EC) requirements, Bulgaria would use the money for projects in five areas of priority. Most of the money would be utilised for roads development, even though cargo in the EU was transported mostly via environment-friendlier railway and naval means of transport over the past several years, Bulgarian National Radio (BNR) said.
Deputy Transport and Communications Minister Vessela Gospodinova said that the the biggest part of the EU subsidy was allocated for road transport, because Bulgaria lagged behind in that field. Also, improvements in road infrastructure had more impact on the economy, she said.
Money for the construction and development of highways between 2007 and 2013 will reach 990 million euro, including national co-funding. It should be used for the construction of Struma and Maritsa highways, first-class segments of the E79 highway from Vidin to Montana and from Vratsa to Botevgrad, for the connection of Hemus highway to the Sofia ringroad and the completion of the Kurdjali-Porkova road, part of corridor nine, BNR said.
Executive director of the Chamber of Constructors in Bulgaria, Ivan Boikov, said that the possibility for Bulgarian construction companies to win the tenders against bigger Western contractors was a 'sore topic', which had been discussed with the state administration for years.
It was a catch 22 situation because Bulgarian companies could carry out the projects, but lacked company history and financial power required, he said. To gain this, they would have to take part in such projects.
Construction experts said that more flexible state policy and protection of Bulgarian interests was needed. It was not only about private interests, they said. When Bulgarian companies utilised the money in the country, they paid their taxes in the country and a significant amount of money would remain in the country.
According to Gospodinova, after Bulgaria's EU accession, all tenders under the ISPA programme and future operative programmes would be launched following Bulgaria's legislation for social procurements., which excluded any company discrimination. Local companies had already gained enough experience in highway construction, she said.
Railway transport in Bulgaria would receive 580 million euro. The state railways planned to reach speeds of 160km per hour for passenger trains and 120km per hour for cargo trains, but railways change and renovation of the network in the whole country was needed, BNR said. Currently, some trains travelled at 30 or 40km per hour because of old rails and constant cable and metal device thefts.
Gospodinova said that the money would be utilised for the completion of the route from Sofia to the Turkish border, and corridors 4, 8 and 10. Thus, Bulgaria would complete its part of the route from the Adriatic to the Black Sea. The EC evaluated the route as economically profitable for commodities transport between Western Europe and Asia.
The operative programme Transport did not envision money for new coaches, motor carriages or locomotives.
Bulgarian State Railways (BDZ) said that at least 1000 coaches had to be changed, but the change would be expensive. BDZ said it had a shortage of 115 coaches average every day.
Nearly 20 million euro under the operative programme Transport would be used to improve navigation in the Danube River and management of Bulgaria's sea traffic. Some 138 million leva were allocated for a joint project with Romania to cope with the shoots in the Danube River near the islands of Batin and Belene.
The EC had already approved Bulgaria's operative programme Transport. The experience of
