Managing and Communicating the Local Policy on EU Funds Absorption

Irina Yordanova Chairwoman of the European Affairs and Civil Society

Permanent Committee of the Sofia City Council

Local authorities must have a Local authorities must have a vision and a policy:vision and a policy:

What should their territory look like in 4, What should their territory look like in 4, 7 or 10 years ?7 or 10 years ?

What are the strengths and What are the strengths and weaknesses weaknesses of of their municipality?their municipality?

What are the overall What are the overall needs for investmentneeds for investment ??

What What specific projectsspecific projects can be proposed can be proposed for financing ?for financing ?

In order to ensure the efficiency of In order to ensure the efficiency of investments, municipalities have to investments, municipalities have to prepare strategic development plans.prepare strategic development plans.

Local authorities must Local authorities must identify resources:identify resources:

On the basis of the strategy, municipalities On the basis of the strategy, municipalities should should identify available resourcesidentify available resources in the SF and in the SF and CF and check other complementary resources CF and check other complementary resources (FP7, CBC Europaid Thematic Calls, EIB)(FP7, CBC Europaid Thematic Calls, EIB)

Beneficiaries should know Beneficiaries should know where to get where to get informationinformation regarding launched and planned regarding launched and planned calls for proposals calls for proposals Regular screening of the web sites/official Regular screening of the web sites/official

journalsjournals Regular contacts with the MAs/Intermediate Regular contacts with the MAs/Intermediate

BodiesBodies Contacts with bilateral partners or in Contacts with bilateral partners or in

networks networks

City of Sofia - strategic visionCity of Sofia - strategic vision Capital of Bulgaria for the last 120 yearsCapital of Bulgaria for the last 120 years, ,

nowadays nowadays it has more than 1,3 million citizensit has more than 1,3 million citizens Centre of university education – 19 universities, Centre of university education – 19 universities,

42% of all students in the country42% of all students in the country Centre of Research – Bulgarian Academy of Centre of Research – Bulgarian Academy of

Science with more than 2400 scientistsScience with more than 2400 scientists The unemployment rate is under 3 % - the The unemployment rate is under 3 % - the

lowest in Bulgarialowest in Bulgaria 65.2 % of the population is of working age65.2 % of the population is of working age More than 27 % of the population has high More than 27 % of the population has high

educational degreeeducational degree

Geographical Centre of South East Europe Geographical Centre of South East Europe and Entry point to the Middle East;and Entry point to the Middle East;

Cross point of Three Pan-European Cross point of Three Pan-European Transport Corridors:Transport Corridors:

Strategic LocationStrategic Location

Corridor № 4 - Corridor № 4 - connecting Central connecting Central Europe and the Europe and the Mediterranean Sea;Mediterranean Sea;

Corridor № 8 – Corridor № 8 – connecting the Adriatic connecting the Adriatic and the Black Sea;and the Black Sea;

Corridor № 10 – Corridor № 10 – connecting Western connecting Western Europe with Turkey and Europe with Turkey and the Middle East. the Middle East.

Sofia - Dynamic Economic Sofia - Dynamic Economic CCentreentre The GDP of Sofia represents 29,7 % of the The GDP of Sofia represents 29,7 % of the

national GDPnational GDP Sofia concentrates 49.5 % of all foreign direct Sofia concentrates 49.5 % of all foreign direct

investment in Bulgaria for the last 15 yearsinvestment in Bulgaria for the last 15 years The largest sector of the municipal economy is The largest sector of the municipal economy is

the service sector with about 73 %the service sector with about 73 % There areThere are 41 710 small and medium-sized 41 710 small and medium-sized

enterprises which produce 71% of all revenuesenterprises which produce 71% of all revenues Active real estate market with rental fees Active real estate market with rental fees

lowest among the CEEClowest among the CEEC Sofia Municipality has ‘BB+’ rating with Sofia Municipality has ‘BB+’ rating with

positive outlook by S&P.positive outlook by S&P.

Challenges:Challenges:

Transport and Traffic – the number of Transport and Traffic – the number of vehicles and the traffic flows are vehicles and the traffic flows are outrunning the transportoutrunning the transport infrastructure development;infrastructure development;

Municipal Solid Waste Management Municipal Solid Waste Management – need of a modern management – need of a modern management system;system;

Water Sector – water supply & waste Water Sector – water supply & waste water treatment.water treatment.

Sofia SolidSofia Solid Waste Management:Waste Management:• State of the art –during the last 2 years there was no State of the art –during the last 2 years there was no

functioning household waste landfill; Baling of the functioning household waste landfill; Baling of the waste, storage on sites in the city and transportation waste, storage on sites in the city and transportation to other municipalities. At present - reopening of the to other municipalities. At present - reopening of the old landfill at Suhodolold landfill at Suhodol

• Cooperation with EU institutions for finding a Cooperation with EU institutions for finding a solution:solution: Development of a contemporary integrated waste Development of a contemporary integrated waste

management system to be financed by OP management system to be financed by OP “Environment” with EUR 131 million.“Environment” with EUR 131 million.

• Current situationCurrent situation: : • Introduction of separateIntroduction of separatedd waste collection system; waste collection system;• Consultant selected to provide the Feasibility Consultant selected to provide the Feasibility

Study of the Project Study of the Project

Sofia Water Sector Development Project Sofia Water Sector Development Project

• A project for reconstruction and A project for reconstruction and

extension of the water and drainage extension of the water and drainage system on the territory of Sofia city;system on the territory of Sofia city;

• Budget of the project: Budget of the project:

EUR 58,5 millionEUR 58,5 million• 75% ISPA funding;75% ISPA funding;• 15% EIB;15% EIB;• 10% own contribution.10% own contribution.

Project for Sofia Waste Water Project for Sofia Waste Water Treatment Installations Treatment Installations

• Construction of waste water treatment Construction of waste water treatment installations in 8 settlements on the installations in 8 settlements on the territory of Sofia city;territory of Sofia city;

• FFunding for unding for the pre-feasibility study the pre-feasibility study ,,

approved by SOFINEX on the amount of approved by SOFINEX on the amount of

EUR 160 000 EUR 160 000 ..

Sustainable Development of the Urban Sustainable Development of the Urban territories along “Vladayska” River in territories along “Vladayska” River in

SofiaSofia

Construction of two modern city Construction of two modern city boulevards and one road junction boulevards and one road junction and development of the green and development of the green places along the river;places along the river;

Funding sources – OP “Regional Funding sources – OP “Regional Development”, own financing, etc.Development”, own financing, etc.

Sofia Public Lightning System Sofia Public Lightning System DevelopmentDevelopment

Renewal of the old lightning Renewal of the old lightning system with modern energy system with modern energy efficient intelligent solution;efficient intelligent solution;

Funding sources – possible Funding sources – possible PPP, EU funding, etc.PPP, EU funding, etc.

Other Sofia Municipality Priority Other Sofia Municipality Priority ProjectsProjects

Reconstruction of major transport Reconstruction of major transport infrastructure network;infrastructure network;

Delivery of new buses, trams and trolleysDelivery of new buses, trams and trolleys..

Rehabilitation of over- bridges and subways;Rehabilitation of over- bridges and subways;

Rehabilitation of the social infrastructure in Rehabilitation of the social infrastructure in Sofia – refurbishment and introduction of Sofia – refurbishment and introduction of RES and energy efficiency measures, etc. RES and energy efficiency measures, etc.

Foreign Investment ProjectsForeign Investment Projects

Business park SofiaBusiness park Sofia - a complex of buildings with business offices, - a complex of buildings with business offices, stores, conference halls, commercial areas, exhibition spaces, etc. ;stores, conference halls, commercial areas, exhibition spaces, etc. ;

Shopping malls:Shopping malls:

- Soravia Centre – Austrian investment;- Soravia Centre – Austrian investment;

- Benchmark office and Shopping centre;- Benchmark office and Shopping centre;

- Carefour Trade Complex with shops, cinema - Carefour Trade Complex with shops, cinema halls, restaurants (floor are of 55 thousand sq. halls, restaurants (floor are of 55 thousand sq. m.), etc.m.), etc.

Future Investment ProjectsFuture Investment Projects Construction of underground parking facilitiesConstruction of underground parking facilities

• At present there are 3 500 parking spaces in the At present there are 3 500 parking spaces in the downtown area.downtown area.

• Feasibility studies have been commissioned for Feasibility studies have been commissioned for six two-level underground parking six two-level underground parking constructions to provide 10 200 parking constructions to provide 10 200 parking places.places.

• Funding – PPP, concession, etc. Funding – PPP, concession, etc.

Future Investment ProjectsFuture Investment Projects

Development of industrial zones and Development of industrial zones and Technology parks - in Iliyanci, Lozen, Technology parks - in Iliyanci, Lozen, Airport area, etc. Airport area, etc.

Rehabilitation of the prefabricated Rehabilitation of the prefabricated residential buildings;residential buildings;

Renovation and construction of social Renovation and construction of social houses;houses;

Construction of a new cemetery ;Construction of a new cemetery ; Construction of bicycle alleys in the Construction of bicycle alleys in the

city parks, etc. city parks, etc.

Participation in EU ProjectsParticipation in EU Projects

- - R4R (Development of a model for R4R (Development of a model for knowledge transfer) - 6knowledge transfer) - 6thth FP, Priority: FP, Priority: Support for the coherent development of Support for the coherent development of policiespolicies

- GREENKEYS (Urban Green as a Key for - GREENKEYS (Urban Green as a Key for Sustainable Cities) under INTERREG III B Sustainable Cities) under INTERREG III B CADSES programmeCADSES programme

- PRONET - to create an information network - PRONET - to create an information network for exchange of knowledge on air pollution for exchange of knowledge on air pollution problems, 6problems, 6thth FP FP

- BELIEF, STACCATO, CRRESCENDO, etc.- BELIEF, STACCATO, CRRESCENDO, etc.

Conclusion – six keywords Conclusion – six keywords

EU funded EU funded projects in municipalities and projects in municipalities and regions is a garanty to involve the citizens in regions is a garanty to involve the citizens in the EU the EU

We need We need projects projects (good projects) (good projects) Information Information is very important is very important Expertise and consultancy Expertise and consultancy Private partnersPrivate partners to implement to implement Crucial element is the Crucial element is the time/deadlinetime/deadline: 2007-: 2007-

2013 (not to forget the N+2 rule)2013 (not to forget the N+2 rule)