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BULGARIA’S PARLIAMENT ADOPTED AT SECOND READING THE PROVISION OF FINANCIAL AID TO NEC TO PAY OFF ITS DEBT OVER BELENE NUCLEAR PROJECT

Bulgaria’s Parliament passed at second reading on 28th of September a draft law for provision of financial assistance to the state-owned National Electricity Company (NEC) to settle its liabilities. With the adoption of the draft law, in practice,...

bulgaria’s parliament adopted second reading provision financial aid nec pay off its debt over belene nuclear project
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11:58, 28.09.2016
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Bulgaria’s Parliament passed at second reading on 28th of September a draft law for provision of financial assistance to the state-owned National Electricity Company (NEC) to settle its liabilities.

With the adoption of the draft law, in practice, NEC will receive financial assistance from the state budget to pay the amounts awarded by an international arbitration court in a dispute with Russia’s Atomstroyexport.

NEC will not pay interest and will not have to present collateral. The terms and conditions for the provision of the financial assistance will be determined by the Council of Ministers and on the basis of an agreement between the minister of energy and NEC, approved by the Council of Ministers.

The draft law stipulates that the money will be made available only upon approval from the European Commission on the basis of a notification made under art. 108, para 3 from the Treaty on the Functioning of the European Union.

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