Bulgarian Govt Grants 39 Mln Euro to ICGB to Build Gas Link with Greece
Bulgaria's government said on Wednesday that it will grant 76.2 million levs ($44 million/39 million euro) to ICGB, the company developing the Gas Interconnector Greece-Bulgaria project, for the construction of the pipeline. The project will be financed by the EU-funded Operational Programme Innovation and Competitiveness, the government said in a statement following its weekly meeting. The total value of the project is 469.8 million levs, of which 76.2 million levs is Bulgarian co-financing. The grant was approved by the European Commission last month. The Commission also approved Bulgaria's intention to provide, free of charge, a state guarantee to state-owned Bulgarian Energy Holding, which owns 50% in ICGB, to cover a 110 million euro loan which BEH will receive from the European Investment Bank (EIB). The EU institution also cleared the two countries' agreement to set a fixed corporate tax regime that will apply to the project company - ICGB, for 25 years from the start of commercial operations. The Gas Interconnector Greece-Bulgaria will connect the Greek gas transmission system in the area of Komotini to the Bulgarian gas transmission system in the area of Stara Zagora.