News from Bulgaria / Nov. 30, 95

From: bulgaria@access1.digex.net (Embassy of Bulgaria)

Bulgarian Telegraph Agency Directory

EMBASSY OF BULGARIA WASHINGTON D.C.

BTA - BULGARIAN TELEGRAPH AGENCY

BULLETIN OF NEWS FROM BULGARIA

CONTENTS

[01] BULGARIA READIES FORMAL BID FOR E.U. MEMBERSHIP

Sofia, November 29 (BTA) - The Government Committee on European Integration today introduced a draft government decision by which the Cabinet would make official Bulgaria's application for full EU membership when it meets on Thursday.

In addition to the proposal that the Bulgarian Government formally apply for accession to the European Union, the Government Committee on European Integration suggested that Prime Minister Zhan Videnov present the application at the meeting of the leaders of the EU member states and Associated Countries in Madrid on December 15 and 16, according to a press release on the Committee's meeting.

Bulgaria's membership in the European Union is a strategic objective reflecting the State's national interests, on which there is consensus in the general public and among the political forces, the members of the Government Committee on European Integration agreed.

At its meeting on Thursday, the Government will also consider a memorandum in connection with the application for EU membership.

The Government Committee on European Intergation today also considered the progress of peace processes and the post-conflict reconstruction of the territory of the former Yugoslabvia and Bulgaria's share in them, through the mechanisms of multilateral international cooperation and bilateral cooperation with the Federal Republic of Yugoslavia, Croatia and Bosnia-Herzegovina. At its further meetings, the Government is expected to make decisions on Bulgaria's prompt inclusion into activities on application of the peace agreement and the post-war reconstruction of the territory of the former Yugoslavia.

Later on, in a statement on national media, Prime Minister Zhan Videnov stressed that by taking this particularly important step the Government confirmed once more that Bulgaria's membership in the EU is a strategic goal reflecting the country's national interests. He recalled that the public and all the political forces had reached a consensus on this key problem. A proof of it is Bulgaria's principled and consistent policy pursued over all the years of transition, Mr Videnov said.

Reviewing the chronology of events after Bulgaria's decision for full membership in the EU adopted by the Grand National Assmebly in 1990, the Prime Minister stated that with the entry into force of the Bulgarian Europe Agreement on February 1995, the relations between Bulgaria and the EU entered upon a qualitatively new stage - a stage of practical preparation for full membership.

"The attainment of this goal requires economic growth and building up a modern social market economy," Zhan Videnov stated. According to him, this year's positive economic results are gradually turning Bulgaria into a reliable economic partner of the EU member-countries.

Bulgaria's desire for EU full membership is an evidence of the country's will and readiness to take real part in the implementation of the idea about united Europe, Europe that enjoying peace, prosperity and social justice, the Bulgarian Prime Minister said. "We are fully aware that the success in the process of preparation for full membership in the EU depends on us first of all. We are yet to make great efforts to this effect, but the noble goal deserves it," Videnov said in conclusion.

[02] PRESIDENT ZHELEV RECEIVED EUROMIL PRESIDENT

Today Bulgarian President Zhelyu Zhelev received Jens C. Rotboell, President of the European Association of Military Organizations (EUROMIL) who arrived here on a four-day visit at the invitation of the Rakovski Bulgarian Officers Legion (RBOL). "The rights and obligations of RBOL should be regulated by the defence and armed forces bill which Parliament is to adopt," Zhelev said. He stressed the role of the Legion as a public organization and its place among the other public organizations in the civil society, as well as its importance for raising the status of Bulgarian officers and resolving the social problems of servicemen. Today Jens Rotboell met with Defence Minister Dimiter Pavlov. Minister Pavlov noted the necessity of cooperation among RBOL, the Defence Ministry and trade union organizations in Bulgaria.

[03] DEPUTY P.M. KIRIL TSOCHEV CONFERS WITH IBRD REPRESENTATIVE

Deputy Prime Minister and Minister of Trade and Foreign Economic Cooperation Kiril Tsochev met today with Ananda Kovindasamy, Head of Power/Energy Utilities Department with the European Bank for Reconstruction and Development (EBRD), the Government's press office said. Kovindasamy reaffirmed EBRD's commends for the pricing policy of the Bulgarian Government in the energy industry, as well as for the recently adopted by the Council of Ministers short-term and long-term strategy for development of the Bulgarian power engineering. On the agenda were also EBRD's potentials for financing projects for rehabilitation of the heat power plants Maritsa-Iztok 1, 2 and 3. The EBRD is ready for joint actions with the Japanese Government without necessarily taking part in the studies, conducted by Japan International Cooperation Agency (JICA) for the construction of replacement capacities for the "Maritsa Iztok 1" heat power plant. The EBRD is in position to come up with a report on their potentials for joint operations by mid-1996. Ananda Kovandasamy introduced also the leader of EBRD's team of experts, which will conduct a one-week on the spot study of the prospects for the bank to finance projects for improvement of transmission electricity networks in Bulgaria. The guest estimated in positive terms the Bulgarian Government's policy of dialogue with the interested international specialized bodies and organisations on the safety of reactor one of the Nuclear Power Plant in Kozlodoui.

[04] DEPUTY P.M. TSOCHEV MEETS

Deputy Prime Minister and Minister of Trade and Foreign Economic Cooperation Kiril Tsochev today met with Mr Nat Woodson, President of the energy systems unit of the US Westinghouse Electric Corporation, the Government Press Office said.Mr Woodson presented the final version of a proposal for modernization of the 1,000 MW Units Five and Six of the Kozlodoui Nuclear Power Plant (on the Danube). Westinghouse puts the cost of the project at 280 million 300 million US dollars, of which 85 per cent could be provided by the US Eximbank on negotiable terms most favourable terms. It is suggested that if agreement is reached, part of the planned work on the updating of Kozlodoui Units Five and Six may be subcontracted to Bulgarian contractors (more than 25 percent of all modernization work). Westinghouse also proposed the establishment of a consortium including both Bulgarian and Russian companies for the possible implementation of the modernization which might be completed within five years. Mr Tsochev said that working expert groups will peruse the technical and financial terms of the proposal, after which Bulgaria will take a stand on it. The guest also expressed readiness for possible participation of Westinghouse in the construction of the Belene nuclear power plant, provided Bulgaria reactivates the project. He expressed the view that given the opportunity for joint work, the company would operate in a consortium with Russian government authorities and specialized institutions and organizations in nuclear power.

[05] JUSTICE MINISTER CHERVENYAKOV BACK

Bulgarian Justice Minister Mladen Chervenyakov returned from Strasbourg, where he signed the European Agreement on the Transmission of Applications for Legal Aid. The Ministry of Justice will be the central body in Bulgaria through which the applications will be filed. The Bulgarian side expressed reservations about a provision in the agreement concerning the language in which the applications should be written. Minister Chervenyakov maintained the stand that applications for legal aid should be written in the language of the receiving country.

"The Council of Europe member-countries have to work out an adequate legal policy in compliance with the crime which is growing, organizing and internationalizing," Chervenyakov said in his report at the fifth conference of the Council of Europe countries penal policy in Strasbourg. It emerged at the forum that Bulgaria is among the countries with fastest growing crime rates. Recorded crimes in Bulgaria per annum amount to more than 220,000, according to figures cited by Minister Chervenyakov. The ratio between recorded, cleared and punished crimes is 12:2.5:1, he said.

[06] INDUSTRY MINISTER RETURNED FROM JAPAN

Industry Minister Kliment Vouchev, who led a delegation to Japan, returned today. Expressing his satisfaction with the visit, Mr Vouchev said under agreements signed during it, the Bulgarian industry would directly receive 80 million dollars. The money will be used to finance two environmental projects at two Bulgarian non-ferrous metal works based in Elisseyna and Plovdiv.

The terms for these loans are very soft - they are payable over 30 years with a grace period of ten years and 2.7 percent interest rate. There are no restrictions on the supply of the required equipment - it can be bought from any country. Talks were held with the chairman of the group for Japanese-Bulgarian friendhsip in the House of representatives of the Japanese Diet, Tamisuke Watanuki, the management of EXIM Bank and the President of JAIDO (Japan International Development Organization), Mr Yufo, Minister Vouchev said. According to Mr Vouchev, the visit set the beginning of specific and serious negotiations with the Japanese side on the funding of other projects too.

[07] BULGARIAN PARLIAMENTARY DELEGATION VISITS Kiev,

[08] SWISS FOREIGN MINISTER TO VISIT BULGARIA

Flavio Cotti, Federal Councillor and Head of Federal Department of Foreign Affairs of Switzerland will arrive in Sofia on a one-day official working visit on December 1.

Cotti will meet Foreign Minister Georgi Pirinski, President Zhelyu Zhelev and Prime Minister Zhan Videnov.

The purpose of the visit is to continue the active political dialogue between the two countries of the past few years and analyse the progress of bilateral relations, Kosyo Kitipov, in charge of relations with Western Europe and North America at the Bulgarian Foreign Ministry said. Cooperation within the framework of the Organization for Security and Cooperation in Europe (OSCE) will be highlighted during the talks. Flavio Cotti will take over the presidency of the OSCE Council of Ministers as of the beginning of 1996.

"Small Switzerland and small Bulgaria give a very good example of pragmatic and meaningful cooperation," Kitipov said. He recalled that Cotti visited Bulgaria in 1993. In 1994 the then Bulgarian foreign minister Stanislav Daskalov paid a visit to Switzerland.

In 1992 the then foreign minister Stoyan Ganev visited Switzerland. During his visit a declaration of intentions of cooperation between the two countries' governments was signed. In 1994 the two countries signed three more intergovernmental agreements: agreement to abolish visa requirements for diplomatic and service passport holders, agreement for readmission and agreement for technical cooperation. Since 1991 Bulgaria and Switzerland have also signed agreements on the avoidance of double taxation and on reciprocal protection and stimulation of investments. Under a number of agreements Switzerland extended to Bulgaria grant aid of the worth of 30 million Swiss Franks for the reconstruction of Bulgarian industry (1992), 30 million Swiss franks for promoting the transition to market economy (1995) and credit guarantees of the worth of 45 million Swiss Franks for promoting the import of materials and machines of primary importance for Bulgarian industry (1993). In 1995 the total of 31.5 million US dollars were extended to Bulgaria for infrastructure projects in the fields of power engineering, environment protection and telecommunications. Switzerland was the first country which signed with Bulgaria a debt-for-environment swap (October 1995). Under the agreement Switzerland wrote off 20 percent of Bulgaria's official debt to it, of the worth of some 20 million Swiss Franks, which the Bulgarian side committed to utilize for financing environmental projects.

Last year's bilateral commodity exchange totalled 151.6 million US dollars. Swiss businessmen are showing serious interest towards privatization and making investments in Bulgaria.

Bulgaria and Switzerland established diplomatic relations in 1915. As of 1963 the two countries' diplomatic missions were upgraded to embassy level.

[09] BUSINESS PRESS

During his official visit to the UK at the beginning of next week Bulgarian Foreign Minister Georgi Pirinski will sign an agreement on reciprocal investment protection, "Standart News" writes. Pirinski will ask Britain to support Bulgaria's right to take part in the postwar reconstruction of the former Yugoslavia.

Petrol prices will go up 4.5%, if, as proposed, 14% of petrol production prices goes to the Road Construction Fund, "24 Chassa" writes citing General Road Administration chief Dimiter Dimov. A one lev per km of motorway road toll will start to be collected at the end of 1996. The first tollhouses will be on the Sofia-Plovdiv-Orizovo (Southern Bulgaria) motorway.

The railway linking Sofia and Skopje will be completed by the end of 1996, "Troud" writes citing Transport Minister Stamen Stamenov. A meeting of experts at the Transport Ministry yesterday discussed technical details of the realization of this project.

The press reports that almost one hundred private and state-owned companies which bought fuel from the state-owned Neftochim oil refinery owe it 3,000 million leva. The main debtors are the same as those announced last year.

The press marks the first anniversary of Unionbank. The funds deposited at the bank total 800 million leva, "Continent" cites Unionbank chiefs as saying.

National Bank Governor Prof. Todor Vulchev will continue to govern the central bank six months after his term expires, "24 Chassa" cites reliable sources as saying.

The State Savings Bank and Bulbank have paid 2,840 million leva in profits tax since the beginning of 1995, according to Finance Ministry data, "24 Chassa" reports. This considerably exceeds the projected 1,063 million for the entire 1995.