The European Commission (EC) decided to finance three local natural gas projects, in which Bulgaria participates, with funds from the EUR 5bn anti-crisis package, which is to be allocated to energy, IT and agricultural projects in member countries. EC will provide EUR 250mn for the construction of the Nabucco Pipeline for transport of natural gas from Central Asia and Middle East to Europe and part of the investments for building interconnections with the natural gas networks of Romania and Greece . The decision of the Commission should be approved by the European Council and the European Parliament, which is expected to take place this spring. The first grants may be extended by the middle of the year. Nabucco Pipeline is estimated to cost EUR 7.9bn (initially projected at EUR 5bn). The EU will allocate the grant in a special fund that will guarantee the stability of the project. Earlier this week, the European Investment Bank announced that it may cover up to 25% of the investments. The 3,300-km pipeline will have a transport capacity of 31bn cubic metres of natural gas per year and is expected to cover 5% of the European demand. First supplies are expected in 2013. The pipeline will cross the territories of Turkey , Bulgaria , Romania , Hungary and Austria . The multilateral government agreement is expected to be signed by the middle of this year.
EC will grant EUR 20mn for the construction of a connection between the natural gas networks of Bulgaria and Greece . The project is estimated at a total of EUR 120mn. The Commission has not specified yet the amount, which will be allocated to the similar project with Romania . The project for construction of interconnection with Romania is valued at a total of EUR 30mn. The economy ministry has proposed three other projects, for which has not been approved EU financing – expansion of the gas storage in Chiren and construction of a new one, construction of a terminal for liquefied natural gas on the Aegean Sea, and construction of a storehouse for carbon dioxide emissions in the Maritsa East complex.