Background information

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

The project supports 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 COVID-19 pandemic. Mrs. Karina Angelieva, Deputy Minister, stated that by improving energy efficiency, small and medium enterprises (SME's) will be able to stabilise 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. Grants provided to individuals range in amount between BGN 25,000 and BGN 150,000. The maximum aid intensity under this procedure is 50%.

Specific costs are eligible to be covered by this measure. These costs include 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

According to the official information of Operational Programme Innovation and Competitiveness, out of a total of 956 project proposals evaluated under the procedure, 920 project proposals were sent for funding with a total grant amount recommended by the committee of BGN 93,336,961.26 (€47,722,430.51).

The project "Rehabilitation of SMEs through energy efficiency improvement" (BG16RFOP002-6.002) was granted BGN 157,175 in December 2022 with 2 administrative contracts.

A total of 842 administrative grant agreements have been provided under the procedure, with the total amount of BGN 85,360,343.23.

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 National Recovery and Resilience Facility

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

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)
• 07 August 2022: OPIK'S MA PUBLISHES A LIST OF THOSE PROPOSED FOR FINANCING AND A LIST OF PROJECT PROPOSALS PROPOSED FOR REJECTION UNDER PROCEDURE NO. BG16RFOP002-6.002 "RESTORATION OF SMES BY IMPROVING ENERGY EFFICIENCY" (www.eufunds.bg)
• 20 February 2023: BG16RFOP002-6.002 "Restoration of SMEs by improving energy efficiency" (opic.bg)