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Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure BG-2022-19/2763 – measures in Bulgaria

Recovery of SME through energy efficiency

BG16RFOP002-6.002 „ВЪЗСТАНОВЯВАНЕ НА МСП ЧРЕЗ ПОДОБРЯВАНЕ НА ЕНЕРГИЙНАТА ЕФЕКТИВНОСТ“

Country Bulgaria , applies nationwide
Time period Temporary, 03 May 2022 – 31 March 2023
Context COVID-19, Green Transition
Type Legislations or other statutory regulations
Category Responses to inflation
– Support for energy bills
Author Tsetomila Sabcheva and Luboslav Kostov (Citub) and Eurofound
Measure added 18 August 2022 (updated 09 October 2022)

Background information

The aim of the procedure is to provide focused support to Bulgarian small and medium-sized enterprises to recover from the economic impact of the spread of the COVID-19 pandemic by improving their energy efficiency.

The project will support enterprises in the manufacturing industry (sector C). This sector is one of the most affected by the increase in electricity prices, according to Deputy Minister Angelieva. She said that: "By targeting resources at this sector, we will achieve rapid and significant cost reductions for electricity as well as for natural gas, liquid fuels and other energy carriers. We believe that investment in these companies will have a major value-added impact on the entire economy, and soon. However, you should not be under the impression that only this industry will receive support to improve energy efficiency."

Content of measure

Directorate General "European Competitiveness Funds" at the Ministry of Innovation and Growth - Managing Authority of the Operational Programme "Innovation and Competitiveness" 2014-2020, announced the project selection procedure: BG16RFOP002-6.002 "Recovery of SMEs through energy efficiency improvement". The grant applications were accepted from 3 to 23 May 2022.

This project supports Bulgarian small and medium-sized enterprises to recover from the economic consequences of the spread of the COVID-19 pandemic. Mrs. Karina Angelieva, Deputy Minister, stated that improving energy efficiency, small and medium enterprises (SME's) will be able to stabilize after the economic shocks of the last two years and continue their sustainable development.

The total amount of the grant (€69,651,309.16) is provided from the European Regional Development Fund (ERDF) through the REACT-EU Instrument. The minimum grant requested per individual project is BGN 25,000 and the maximum is BGN 150,000. The maximum aid intensity under this procedure is 50%.

Eligible under the procedure are costs for the acquisition of machinery, plant, equipment, systems, works representing fixed assets, as well as costs for consultancy services for the introduction and certification of energy management systems in enterprises.

The total budget of the procedure is BGN 136,226,120, which implies that at least 1,000 enterprises will be financed. All information about the project is available at opic.bg .

Use of measure

Out of a total of 956 project proposals evaluated under the procedure, 920 project proposals have been proposed for funding with a total grant amount recommended by the committee of BGN 93,336,961.26 / €47,722,430.51.

Target groups

Workers Businesses Citizens
Does not apply to workers SMEs
Does not apply to citizens

Actors and funding

Actors Funding
National government
Company / Companies
European Funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Unknown Unknown
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • Unknown
  • Main level of involvement: N/A

Involvement

There is no information about the involvement of social partners in designing, implementation and monitoring of this project. Directorate General "European Competitiveness Funds" at the Ministry of Innovation and Growth - Managing Authority of the Operational Programme "Innovation and Competitiveness" 2014-2020, announced, managed the project selection procedure BG16RFOP002-6.002 "Recovery of SMEs through energy efficiency improvement".

Views and reactions

No views by the social partners have been shared publicly about this measure.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      C - Manufacturing C10 Manufacture of food products
      C11 Manufacture of beverages
      C12 Manufacture of tobacco products
      C13 Manufacture of textiles
      C14 Manufacture of wearing apparel
      C15 Manufacture of leather and related products

This case is not occupation-specific.

Sources

  • 05 May 2022: BG16RFOP002-6.002 "RECOVERY OF SMES BY IMPROVING ENERGY EFFICIENCY" (coronavirus.bg)
  • 10 May 2022: Deputy Minister Karina Angelieva: We expect the recovery aid to reach about 1,000 enterprises (trud.bg)
  • 08 July 2022: List of project proposals (opic.bg)

Citation

Eurofound (2022), Recovery of SME through energy efficiency, measure BG-2022-19/2763 (measures in Bulgaria), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/BG-2022-19_2763.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.