EC authorizes Bulgaria to finance SAPARD program payments from national budget funds

The letter from the European Commission (EC) has arrived around 5 p.m on Wednesday. The document allows for the release of payments to Bulgaria under SAPARD program amounting to 400 mln euro, Deputy PM Meglena Plugchieva announced on BNT cited by BGNES. The letter recommends payments to upright beneficiaries on the basis of additional check-ups, BTA informed.

The EC initially suspended the reimbursement of funding under one of the SAPARD measures and under two more measures later on. At that time, the Commission recommended that payments with national resources be avoided.
The letter from Brussels notes that the EC will consider whether to recover European funding under the suspended SAPARD Measures after the Action Plan drafted by the SAPARD Agency is implemented. The plan includes legal analysis and independent audit inspections.

The lifting of this prohibition means that Bulgaria will assume the reimbursement of funds under the suspended SAPARD measures. Bulgaria continues to fulfill its commitments to the Commission to obtain the right to extend the term for financing by the end of 2009 and have the state budget expenditure recovered by the EC.

Bulgaria's State Agriculture Fund - SAPARD Agency, has already undertaken steps to extend by 30 August the term of contracts of applicants under SAPARD.

Bulgarian Minister of Agriculture, Valeri Tsvetanov, acknowledged receipt of such letter on BNT. He announced that there would be available lists for reimbursement of farmers' subsidies in the shortest possible time and forecasted that this could happen even as early as September.

An agreement with the protesting farmers has been reached, Minister Tsvetanov informed as well. The government will allocate additional subsidy of BGN 60 million to the milk producers. During its meeting on Thursday, the Council of Ministers will vote on allotment of the money.