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Programmes summaries :

Operational Programme 2007-13: Environment

1. Operational Programme "Environment 2007-2013" – Operational Programme under the Convergence objective co-funded by the European Regional Development Fund (ERDF) and the Cohesion Fund (CF).

2. Overview
On the 7 November 2007, the European Commission approved a sectoral operational programme in Bulgaria for the period 2007-2013. The Operational Programme "Environment" involves Community support for the whole national territory within the framework of the "Convergence" objective. The total budget of the programme is around € 1.8 billion and the Community assistance through the ERDF amounts to € 439 million and through the Cohesion Fund, it amounts to € 1.027 billion (approximately 22 % of the total EU money invested in Bulgaria under the Cohesion policy 2007-2013).

3. The purpose and aim of the EU investment
The Operational Programme “Environment” (OP Environment) is the main programme document of the implementation of the national environmental policy. The purpose of the support within this framework is to protect and preserve the natural resources of Bulgaria and to improve the state of environment throughout the country.

Investments in environmental infrastructure are strongly connected to sustainable economic growth and job creation. They also contribute to promoting convergence and increasing the competitiveness of regions. The programme will also contribute to the preservation and restoration of Bulgarian rich biodiversity and will help to improve the implementation capacity of the local stakeholders.

4. Expected impact of the investments
By 2013, the programme plans to have realised 65 new or rehabilitated waste water treatment plants serving an additional 1.845.000 people, and 22 integrated waste management systems serving an additional 3.5 million people.

5. Priorities
The overall objective of the OP is "to improve the quality of life of the population in the country through ensuring healthy and favourable environment and to preserve the rich natural heritage on the basis of sustainable development of the country". It concentrates on the completion of the requirements of the environmental acquis (EU law), which is considered a pre-requisite for improved living standards and the attractiveness for growth-inducing investments in the country. The overall objectives will be achieved through four prioritιes (including Technical Assistance):

Priority 1. Improvement and development of water and wastewater infrastructure
The objective of this priority is the preservation and improvement of the environmental conditions of the water in the country by improving water supply and wastewater infrastructure to the standards required by European directives. This priority will aim at the construction/modernization of water sources intended for drinking water abstraction, the extension and rehabilitation of water and sewerage networks, the construction and rehabilitation of water and wastewater treatment plants and will also cover the technical assistance for project preparation. Projects supported by this priority will follow integrated water management cycle.

Priority 2. Improvement and development of waste treatment infrastructure
The objective is to improve the environment by enabling the respect of European Directives on solid waste and development of sustainable waste management systems, respecting the integrated waste management flow (prevention, utilization/sorting/recycling) and final treatment. The programme will improve waste management facilities and will reduce the number of historically contaminated sites.

The priority will support regionalised waste management plans.

Priority 3. Preservation and restoration of biodiversity
The objectives are the conservation of biological diversity, natural habitats, wild species of fauna and flora as well as the efficient management of protected areas.

Priority 4. Technical assistance
The objective of this priority axis is to successfully and efficiently implement the programme (support to management, communication activities, evaluation etc.).

6. Responsible for implementation and contact details:
Ministry of Environment and Water, Directorate "Cohesion Policy for Environment"

Managing Authority for Operational Programme "Environment 2007-2013"
Deputy Minister: Mr Atanas Kostadinov
22, Maria Luiza Blvd., 1000 Sofia
Tel.: +359 2 980 67 28
Fax: +359 2 980 96 41

E-mail: akostadinov@moew.government.bg
Director of the Managing Authority: Mr Vasil MargaritovE-mail: margaritov@moew.government.bg

Operational programme 2007-2013: "Development of the Competitiveness of the Bulgarian Economy"

1."Development of the Competitiveness of the Bulgarian Economy 2007-2013" Operational Programme under the Convergence objective, funded by ERDF

2. The European Commission approved on 26 September 2007 a major development programme in Bulgaria for the period 2007-2013, entitled the Operational Programme for "Development of the Competitiveness of the Bulgarian Economy". This programme involves Community support for the whole national territory within the framework of the "Convergence" objective. The total budget of the programme is around EUR 1.16 billion and the Community assistance through the ERDF amounts to EUR 988 million (approximately 15 % of the total EU money to be invested in Bulgaria under the Cohesion policy 2007-2013).

3. The purpose and aim of the EU investment:
The Operational Programme “Development of the Competitiveness of the Bulgarian Economy” (OP Competitiveness) is the main programming document aimed at improving the competitiveness of the Bulgarian economy. The purpose of the support is to develop a competitive and efficient production and to promote business sectors. It will contribute to increase the economic growth and to assist the necessary structural changes in the Bulgarian economy with a view to achieving a sustainable growth and cohesion during the programming period. In order to achieve these objectives, a support is envisaged for improving the productivity and growth potential of small and medium-sized enterprises, assisting the development of innovations; helping the transition to a knowledge-based economy and introduction of new technologies; and improving the business environment. The Operational programme is fully aligned with the Lisbon Agenda 2000 objectives as well as with the Community Strategic Guidelines on economic, social and territorial cohesion. In addition, the operational programme will also contribute to the achievement of the general EU horizontal objectives, namely environment protection, equal opportunities and development of the information society.

4. The expected impact of the investment:

* To raise the expenditures on Research and Development (R&D) by 0.64% up to the level of 1.15 % by 2013;
* To raise the export as a share of the GDP ratio by 30 % by 2013;
* To reduce the overall energy intensity level by 25 % compared to the level of 2004 and to create additional capacity of 16 GwH for the needs of the enterprises of renewable energy production in the national grid;
* To create 2120 jobs, and 300 jobs in the research area;
* In overall, the contribution of small and medium enterprises (SMEs) to GDP is set at 32.3% for 2013, i.e. 10% increase in comparison with 2004 data; and Labour productivity increase will be 11.5% for the same period and baseline.

5. Priority axis

The global objective of the OP “Development of the Competitiveness of the Bulgarian Economy” is the development of a dynamic economy, competitive in the European and the world market. It is directly related to the guidelines provided by the National Strategic Reference Framework for 2007-2013.

If high-quality living standards based on a sustainable social and economic development are to be achieved the Bulgarian economy must develop dynamically. This is attainable mainly via competitiveness of manufactured goods and services on the international markets that ensure employment and professional development of the population. The balance between economic development and environmental protection, as well as the interrelation between high economic growth and high employment and economic participation of the population is also considered.

The road to the achievement of the global objective in the Operational Programme passes through two specific goals: to encourage innovation, to increase the efficiency of enterprises; and to improve the business environment. Accomplishing these goals will help Bulgarian enterprises become internationally competitive, and at the same time, key actors in creating sustainable growth in the Bulgarian economy in the context of the future knowledge-based economy and increasing globalisation.

The overall objectives will be achieved through five priority axes:

Priority Axis 1: “Development of a knowledge-based economy and innovation activities” is focused on assisting the development of R&D activities for and by enterprises, aiming at strengthening their innovation potential and establishing a suitable pro-innovative business infrastructure, which shall strengthen the science-business relationship.

Priority Axis 2: “Increasing efficiency of enterprises and promoting a supportive business environment” is focused on the support of micro-, small and medium-sized enterprises with a development potential, where the modernisation of technologies and quality management will be assisted, as well as the improvement of the consultancy and information services offered to business, improving energy efficiency of enterprises and encouraging business co-operation and networking. A specific focus will be to promote investments in environmentally friendly, low-waste, energy saving production technologies and utilization of renewable energy sources, in order to significantly reduce the energy intensity of the Bulgarian businesses and adverse environmental impacts, and thus contribute to sustainable environmental development.

Priority Axis 3: “Financial Resources for Developing Enterprises” aims at improving the access to development capital for enterprises. Its objectives are to increase investment activity and promotion of entrepreneurship through the development of special financial instruments and financial engineering for SME funding. The envisaged interventions are intended to add new opportunities for access to risk capital to SMEs in “financing niches” where traditional bank finance is currently absent or deficient. The achievement of the majority of these objectives will be sought through implementation of the joint initiative JEREMIE (Joint European Resources for Micro to medium Enterprises).

Priority Axis 4: “Strengthening the international market positions of Bulgarian economy”. The priority axis is aimed at facilitating the integration of the Bulgarian economy in the single European and world market through improving the environment for investments and export. It will support the promotion of foreign investments in Bulgaria, improve the export potential of the national economy, and provide support for the national quality infrastructure by upgrading the calibration and testing laboratories and conformity assessment bodies.

Priority Axis 5: "Technical Assistance" will provide support for the management, implementation, monitoring and control of OP “Competitiveness” activities as well as support for the work of the Monitoring Committee by funding researches and studies necessary for the implementation and the evaluation of the projects, information and publicity measures which are ensuring the transparency of the programme. The objective of the priority axis is to improve the quality of the interventions to be carried out and to increase the effectiveness of Structural funds absorption.

6. Responsible for implementation and contact details:
Managing Authority (MA) for the Operational Programme:

Ministry of Economy and Energy, Directorate "European Funds for Competitiveness"
Deputy Minister: Mrs Nina Radeva Director of MA: Mr Atanas Kirchev
8, Slavianska Str., 1046 Sofia 8, Slavianska Str., 1046 Sofia,
Tel.: +359 2 940 75 00 Tel.: +359 2 940 75 00
Fax: +359 2 981 17 19 Fax: +359 2 981 17 19
E-mail: n.radeva@mee.government.bg E-mail: a.kirchev@mee.government.bg