The government managed to save 100% of the funds for the renovation of multi-family residential buildings under the National Recovery and Sustainability Plan. This was announced by the Minister of Regional Development and Public Works Ivan Ivanov after the meeting of the Council of Ministers, which decided to transfer the energy renovation program for apartment blocks from the Ministry of Regional Development and Public Works (MRDPW) to the Bulgarian Development Bank (BDB). Minister Ivanov reminded that at the beginning of the government's mandate there was a huge risk of losing funds under the program.
„The measure was agreed by the government with the European Commission (EC) as part of the negotiations for amending the Recovery and Sustainability Plan (RRSP). The goal was to save all approved residential blocks that were seriously behind in terms of activities, and the lack of progress posed a risk of failure to meet the deadline under the PVP - June 30 this year. Thus, in dialogue with the EC, we agreed that the risky blocks would be transferred as an independent investment to be managed by the BDB. Thus, all funds earmarked for the renovation of the residential buildings, in the amount of 246,556,225 euros, are preserved," Minister Ivanov pointed out. In addition, the deadline for the implementation of the renovation activities is also extended - until 31.12.2029.
The renovation of 177 blocks from Stage 1 and all 277 residential buildings approved under Stage 2 will be transferred from the MRDPW to the BDB. “It is important to note that during our negotiations with the EC we also managed to agree on the elimination of the required 20% own financing from the owners' association under Stage 2. Thus, 100% of the blocks will be renovated free of charge for Bulgarian citizens and they can freely dispose of their funds that they had previously collected“, the regional minister also said. He added that when the program is transferred, there will be no need to reapply, and all documentation will be provided ex officio by the MRDPW to the BDB.
Ivan Ivanov also said that he has the assurance of the BDB that with the funds saved after the tenders and construction activities, a re-classification will be made and the renovation of some of the blocks that are currently included in the reserve list under Stage 1 will be financed.