Shumen Municipality Threatens To Cancel Heating Utility Privatisation

Shumen Municipality Threatens To Cancel Heating Utility Privatisation

The municipality of Shumen said it has sent a one-month notice to Israeli power generation equipment manufacturer Telemenia that it may cancel the contract for the privatisation of the local municipal heating utility.

The privatisation contract may be voided as the Israeli company has still not made a payment to the amount of 51,000 levs ($33,900/26,100 euro), representing the difference between the sale price and the submitted deposit, the municipality said in a statement.

The Shumen municipality and Telemenia signed on February 1 an agreement for the sale of Toplofikatsiya Shumen, under which the Israeli company had 10 days to pay the remainder of the money.

Telemenia was the sole bidder in the tender for the sale of Shumen's municipal heating utility. Under the terms of the privatisation agreement, it has to guarantee the supply of heating for the 2013-2014 heating season, to invest 75 million euro ($97.6 million) in the next three years, to pay off the utility's liabilities to Bulgaria's gas monopoly Bulgargaz and to create 50 jobs.

Previous Next
Test Caption
Test Description goes like this
Cookies Preferences
Choose Type of Cookies You Accept Using

These cookies are required for the website to run and cannot be switched off. Such cookie are only set in response to actions made by you such as language, currency, login session, privacy preferences. You can set your browser to block these cookies but our site may not work then.

These cookies allow us to measure visitors traffic and see traffic sources by collecting information in data sets. They also help us understand which products and actions are more popular than others.

These cookies are usually set by our marketing and advertising partners. They may be used by them to build a profile of your interest and later show you relevant ads. If you do not allow these cookies you will not experience targeted ads for your interests.