Conclusions of Business Breakfast on RES in Bulgaria

Conclusions of Business Breakfast on RES in Bulgaria
energia.gr
Τετ, 23 Ιουνίου 2010 - 18:39
Investors in renewable energy sources (RES) remain dissatisfied with the proposed amendments to the Law on Preservation of Agricultural Land, it became clear during a business breakfast, organized by representatives of the business, Focus news agency reporter announced.

1) RES Investors are dissatisfied with amendments to the Law on Preservation of Agricultural Land

Investors in renewable energy sources (RES) remain dissatisfied with the proposed amendments to the Law on Preservation of Agricultural Land, it became clear during a business breakfast, organized by representatives of the business, Focus   news agency reporter announced. This week the amendments connected with construction of renewable energy facilities on agricultural lands are expected to be voted on second reading.

Deputy Agriculture Minister Svetlana Boyanova explained that RES are proposed to be built on agricultural land which is first to fourth category, provided that this land is included in the national plan for renewable energy, which is not yet ready. The first draft of the changes provided that there would be no construction and / or expansion of facilities for electricity production from RES on agricultural land from first to fourth category. Therefore Boyanova pointed out that the adjustments proposed to the amendments are aimed to achieve a balance of interests. However, RES investors are of another opinion.

This law is to discriminate against RES said Nicola Gazdov of the Bulgarian Photovoltaic Association. According to him, the law will be returned for revision from Brussels. There is over 10% of bare land, he added.

Svetlana Boyanova replied that in its present version, the Bill is not discriminatory.

"Production of renewable energy in our country is chaotic; we do not know what the facilities are and where they are situated. We will comply with the planning”, she said. Currently, there is no concept of what should be planned for renewables. She wanted to know where exactly the discrimination in the Bill was.

Production of renewable energy is minimal, Nicola Gazdov said on his part, adding that he saw discrimination in the fact that a ban was to be imposed on renewable energy sources only. “If I want to build a space-ground, there will be no any restrictions, but as far as RES is concerned – there are”, he said.

GERB MP Emil Dimitrov, deputy chairman of the Committee on Agriculture and Forestry in the National Assembly, said he does not accept the harsh words regarding discrimination.

"If we go down that road, this would mean going to confrontation with the farmers. Agricultural land is one of the greatest treasures of Bulgaria. Nobody so far has told you that you would not continue with your projects. All projects in the procedure will be able to be completed, even if they are connected with this category of land. If you can come up with a constructive proposal on how to make bare lands cultivated, you will be of great help to us. I doubt that a very small portion of land from first to fourth category is uncultivated land”, Dimitrov said. Recently RES are located in areas of 1000-1500 acres of fertile land, Stoil Dudulov said, head of department on “Conservation activities concerning agricultural lands” in the Ministry of Agriculture and Foods.

2) RES investors remain dissatisfied, their freedom is being restricted


Investors in renewable energy express certain reserves regarding the proposed amendments in the Law on Preservation of Agricultural Lands.

The amendments connected with the construction of RES facilities on agricultural lands are expected to be voted this week on second reading.

The agricultural ministry proposes that they should be built on agricultural land from first to fourth category, provided that this land is included in the national plan on RES, which, however, has not been completed yet. As according to Nicola Gazdov from the Bulgarian Photovoltaic Association, the law in the way it has been prepared now is discriminatory and he assumes that sanctions will follow from Brussels.

Deputy Minister Svetlana Boyanova is of the opinion that RES production in our country in chaotic and further planning is needed. She wanted to know where exactly they detected discrimination in the bill.

RES production is very small, Nicola Gazdov remarked, on his part, adding that discrimination is in the fact that restriction is imposed concerning RES only. “If I want to build a space-ground, there will be no any restrictions, but as far as RES is concerned – there are”, he said.

Emil Dimitrov, deputy chairman of the Commission on Agriculture and Forests in the National Assembly rejected the assertion of the Association.

"If we go down that road, this would mean going to confrontation with the farmers. Agricultural land is one of the greatest treasures of Bulgaria. Nobody so far has told you that you would not continue with your projects. All projects in the procedure will be able to be completed, even if they are connected with this category of land. If you can come up with a constructive proposal on how to make bare lands cultivated, you will be of great help to us. I doubt that a very small portion of land from first to fourth category is uncultivated land”, Dimitrov said.

3) There is no absolute ban on constructing RES on fertile lands if they are included in the plan

The absolute ban concerning the development of RES facilities on lands which are included in 1st – up to 4th category is not applicable any more if the agricultural lands are included in the national plan for RES development. This is one of the most substantial changes in the amendments in the Law on Preservation of Agricultural Lands, the Minister of Agriculture, Svetlana Boyanova, said. She opened the first business breakfast related to amendments in the law. The other change in the Bill concerns investors. All projects that are in the process of RES construction on fertile land, even if they are in their earliest stage, shall be completed, Emil Dimitrov said, who is deputy chairman of the Commission on Agriculture in the National Assembly.

The amendments in the law are discriminatory with regard to renewable energy sources, Nicola Gazdov from the Bulgarian Photovoltaic Association stated. According to him, our country does not take into regard in its own interests, as up to the year 2020 we should reach 20% of RES energy production. The Bill has been introduced in the National Assembly. The members of parliament are to accept the changes on second reading.

4) RES-business: Changes to the Law on Agricultural Lands are discriminatory

The proposed amendments to the Law on Preservation of Agricultural Lands have a discriminatory attitude towards renewable energy sources and this drives back investors. If confirmed in its present form, there is real danger of the bill to be returned for revision from Brussels.
This was the view expressed by Nikola Gazdov of the Bulgarian Photovoltaic Association during a business breakfast, which was held at the Sheraton Hotel, regarding the amendments to the Law on Preservation of Agricultural Land.

The amendments are going to be voted on second reading in parliament this week concerning the construction of renewable energy facilities on agricultural land.

According to Deputy Minister of Agriculture, Svetlana Boyanova, the RES sector must be developed after a comprehensive concept and if changes to agricultural lands are made, they must be connected to special needs only.

Boyanova dwelled on the new proposal in the Bill for RES to be built on agricultural land from first to fourth category, provided that the land is included in the national plan for RES, the Bulgarian Telegraphic Agency informed. Thus a balance of interests is achieved by introducing these adjustments, she said. Preparation of the plan, however, is slow and this creates many difficulties, the business representatives remarked.

 

Emil Dimitrov, member of GERB and Deputy Chairman of the Committee on Agriculture and Forestry in the National Assembly said that he would call for very strict regulation, so that no conditions for corruption are created.

He said also that the land from first to fourth category makes up 45 per cent of the total land and asked what exactly was the problem with building RES facilities on the remaining 55 per cent of agricultural land.

If you have any constructive proposal on how to make bare land arable, you will be of great help to us, Mr. Dimitrov appealed to business representatives. But he doubted that a very small part of the land from first to fourth category is bare.

Renewable energy sources (RES) will be able to be constructed
on forest lands, after changing their purpose of use, Dimitrov added. Amendment would also apply to construction of power lines and provisions will be made for changing the status of woodless areas only.

A working group has been created to the Agricultural Commission, which deals with amendments to the Bill. “I cannot say when it will be ready, it is in the process of preparation”, Dimitrov added.


A controversial point in it is whether it will be prohibited to construct RES in fertile lands from category I to IV.

Recent amendments to the bill, which was approved on first reading by the leading parliamentary committees on economy and agriculture, state that construction of renewable facilities will be allowed, provided that they are set in special plans, developed by the Ministry of Economy, Energy and Tourism (MEET).

These plans will show the lands where renewable energy facilities can be constructed. It is not yet clear when exactly these plans will be made.

 

The legal committee to the Parliament rejected the Bill for the protection of agricultural land in its first reading on the grounds that the bill does not have a clear purpose. MPs urged the agriculture ministry to decide if it wants to preserve land or to help energy investors.


The first amendment to the Law on Protection of Agricultural Lands provided for full moratorium on construction of RES in the most fertile lands. After a scandal between investors and farmers the law was reformulated - from prohibitive, it became permissive, Dnevnik newspaper recalled.
For the period 2007-2009,
1900 applications were submitted for the construction of renewable energy parks, which would extend on 11 643 acres, out of which 5345 acres would be on I to IV category land. Since the beginning of this year, 714 requests have been submitted for 15,000 acres, this includes 6437 acres for category I to IV, as according to data of the Ministry of Agriculture.

According to experts of the agriculture ministry, at the moment
RES are located in areas of 1000-1500 acres of fertile land.

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