The government will make a positive decision on U.S. investments in electricity production if AES and Entergy agree on a revised letter of government support, announced Prime Minister Ivan Kostov on Saturday.
AES and Entergy are ready to invest more than $1.3 billion in the modernisation of the coal-based electricity power plants Maritza-Iztok 1 and 3.
The revised letter of support was presented to both U.S. companies during Kostov’s visit in Washington last week. The letter does not offer the state guarantees for the investment in Maritsa-Iztok that AES and Entergy initially insisted upon. However, the companies later implied that they would be satisfied with only institutional support from the government.
However, the signing of the final agreement could be delayed further, even after a positive decision by the Council of Ministers. Kostov clarified that the drafts of the agreement would need some changes to reflect the absence of state guarantees, but said the contracts should be finalised before the elections on June 17.
Meanwhile, the German company Reinbraun officially denied it would close coalmine production if they sign a contract with the government. It is expected that Reinbraun would invest 300 to 600 million euros in the rehabilitation of the coalmines in the Maritsa-Iztok baisin.
AES and Entergy are ready to invest more than $1.3 billion in the modernisation of the coal-based electricity power plants Maritza-Iztok 1 and 3.
The revised letter of support was presented to both U.S. companies during Kostov’s visit in Washington last week. The letter does not offer the state guarantees for the investment in Maritsa-Iztok that AES and Entergy initially insisted upon. However, the companies later implied that they would be satisfied with only institutional support from the government.
However, the signing of the final agreement could be delayed further, even after a positive decision by the Council of Ministers. Kostov clarified that the drafts of the agreement would need some changes to reflect the absence of state guarantees, but said the contracts should be finalised before the elections on June 17.
Meanwhile, the German company Reinbraun officially denied it would close coalmine production if they sign a contract with the government. It is expected that Reinbraun would invest 300 to 600 million euros in the rehabilitation of the coalmines in the Maritsa-Iztok baisin.
