A.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
1	C1.R1: Reform in preschool and school education and vocational education and training	Milestone	Entry into force of the amendments to the Pre-school and School Education Act and to secondary legislation.	Provision in the law indicating the entry into force of the amendments to the Pre-school and School Education Act and to secondary legislation				Q4	2020	The amendments to the Preschool and School Education Act and to secondary legislation shall include: -the update of the STEM core curricula and syllabus as follows: introduction of new IT skills (encoding) in classes five-seven; increase in mathematics hours in classes five-seven; increase in geography and economics hours in class six; -additional distance learning opportunities, including hybrid forms of learning combining in-presence and online learning; -the inclusion of four-year-olds in the mandatory preschool programme. The amendment shall provide for a gradual phase-in of the mandatory inclusion which shall be completed no later than for the school year 2023/2024.
2	C1.R1: Reform in preschool and school education and vocational education and training	Milestone	Entry into force of the amendments to the Employment Promotion Act	Provision in the law indicating the entry into force of the amendments to the Employment Promotion Act				Q4	2022	The amendments to the Employment Promotion Act shall: -introduce the possibility of combining vocational training with participation in a training course for persons over 16 years of age; -introduce the option of validating professional skills and key competences acquired through non-formal learning or self-learning; -increase the flexibility of training opportunities, including by increasing the offer of online trainings.
3	C1.R1: Reform in preschool and school education and vocational education and training	Milestone	Action Plan(s) for the implementation period 2023-2027 of the Strategic Framework for the Development of Education, Training and Learning in the Republic of Bulgaria (2021-2030)	Adoption by the Council of Ministers				Q4	2022	At least one action plan to cover for the implementation period from 2023-2027 of the Strategic Framework for the Development of Education, Training and Learning in the Republic of Bulgaria (2021-2030) shall formulate measures and actions, including their timeline, to address the objectives of the Strategic Framework. The objectives of the Strategic Framework shall include: -better access to quality education for children from vulnerable groups, including Roma; -larger coverage of children in the education system; -the introduction of a revised system of teacher qualifications and effective management practices of educational institutions; -innovation in schools, with a focus on the digital transformation and sustainable development.
4	C1.R1: Reform in preschool and school education and vocational education and training	Milestone	Entry into force of legal act(s) in the field of vocational education and training	Provision in the legal act(s) indicating entry into force				Q4	2025	The legal act(s) shall provide for: -approval of the list of professions for vocational education and training (VET); -approval of at least 250 state educational standards, plans, programmes for acquiring professional qualification; -expansion of the role of employers in the amendment of the list of professions for VET and in the approval of state educational standards; -online training offers.
5	C1.R2: Higher education reform	Milestone	Entry into force of the amendments to the Higher Education Act	Provision in the law indicating the entry into force of the amendments to the Higher Education Act				Q1	2020	The amendments to the Higher Education Act shall: -introduce a revised system of accreditation of higher education institutions, as well as the status of ‘Research University’; -allow for the exemption from fees at state higher education institutions for students or recent graduates who sign a traineeship agreement with an employer; -update the list of ‘protected specializations’ based on expected labour market shortages; -introduce the possibility to conclude up to two agreements between state higher schools and state or municipal schools in the system of preschool and school education. The agreements are expected to promote the acquisition of specialized training in secondary education.
6	C1.R2: Higher education reform	Milestone	National Map of Higher Education	Adoption by the Council of Ministers				Q3	2021	The National Map of Higher Education shall support the formulation of recommendations to promote a more balanced distribution of the higher education offer across the territory. The map shall provide analysis covering: -the territorial distribution of higher education offer in the Republic of Bulgaria, including information on the national and regional socio-economic and labour market developments; -the resources available in higher education institutions, including academic staff and students.
7	C1.R2: Higher education reform	Milestone	Action plan for the implementation of the Strategy for the Development of Higher Education in the Republic of Bulgaria (2021-2030)	Adoption by the Council of Ministers				Q4	2022	The action plan for the implementation of the Strategy for the Development of Higher Education in the Republic of Bulgaria (2021-2030) shall formulate measures and actions, including their timeline, to address the objectives of the strategy. The objectives of the strategy shall cover: -the development of a mechanism for updating existing and developing new curricula; -a revision of existing provisions regarding state-controlled subsidised admission to public higher education institutions. Changes shall be made in accordance with national and regional developments of the labour market; -research enhancement and promotion of higher educations by developing scientific networks; -the introduction of additional specialisations and programmes in higher educations with double diplomas; -the establishment of training centres for life-long learning in higher education institutions
8	C1.I1: STEM centres and innovation in education	Milestone	Establishment of the national STEM centre	Provision in the national legislation indicating the establishment of the national STEM centre				Q4	2022	The main responsibilities of the national STEM centre shall include: -the organization of trainings for teachers and other pedagogical professionals; -the development of teaching material and the set-up and maintenance of an electronic portal and library with publicly available educational resources; -the coordination and support of student activities in STEM fields, including participation in scientific olympic competitions.
10	C1.I1: STEM centres and innovation in education	Target	Construction and/or renovation works		Number	0	2 008	Q2	2026	Construction and/or renovation works for the national STEM centre and for training facilities for three regional STEM centres shall be carried out. In addition, proofs of delivery and/or installation of equipment in each centre shall be provided. Construction and/or renovation works of STEM laboratories shall be carried out. This shall cover: -construction works in 1 824 schools; -renovation works in another 180 schools. In addition, proofs of delivery and/or installation of equipment shall be provided.
13	C1.I2: Infrastructure works in educational facilities	Target	Renovation and/or construction works of schools, kindergartens and student dormitories, and construction works of campuses		Number	0	174	Q2	2026	Renovation works in 116 kindergartens and schools, and 24 vocational schools shall be carried out. In addition, proofs of delivery of equipment and/or furniture shall be provided. Renovation activities in 23 school student dormitories shall be carried out. Construction works for nine kindergartens or schools shall be carried out and each new kindergarten and school shall achieve a Primary Energy Demand (PED) that is at least 20% lower than the NZEB requirement (nearly zero-energy building, national directives). Construction works in two university campuses shall be carried out.
18	C1.I3: Digital skills	Target	Digital clubs		Number	0	760	Q2	2026	Proofs of construction and/or renovation works for 760 digital clubs shall be provided. Proofs of delivery of equipment, including computers or laptops, shall be provided. The digital clubs shall be selected following a call for proposals which shall require that they provide free access to training courses for adult learning. A platform for e-learning for adults shall be accessible online.
21	C1.I3: Digital skills	Target	Certificates for acquired level of digital skills		Number	0	260 000	Q2	2026	Certificates for acquired level of digital skills, for basic or medium level, shall be provided.
22	C1.I4: Youth centres	Milestone	Construction and/or renovation works for youth centres, establishment of a National focus centre, and people registered	Youth centres constructed or renovated and people registered in activities				Q2	2026	Construction and/or renovation works for 18 youth centres shall be carried out. The youth centres shall be selected following a call for proposals, which shall include the following assessment criteria: -youth unemployment rate; -activities for people from vulnerable groups, including Roma. Legal act(s) shall establish the National focus centre. The National focus centre and each youth centre shall provide a proof of registration of people in at least one of their activities. The total number of registered people shall be at least 16 470.

B. COMPONENT 2: Research and Innovation

The Research and Innovation component of the Bulgarian RRP contains measures aimed at improving the innovation output of Bulgaria, thus spurring its economic growth in the medium and long term. The component contains a reform that aims to highlight research and innovation as a clear priority of the country’s future development and pooling national and EU resources in order to overcome the current fragmentation of the ecosystem. The key elements of the reform are: the adoption of a Research and Innovation Act and the establishment of the Council for Innovation and Research. The component further includes investments to foster the research and innovation performance of public research institutions and innovative business. The investments introduce new financing channels to support research and innovation activities and enhance the innovation capacity of the Bulgarian Academy of Sciences.

The measures included in the component contribute to addressing country-specific recommendation 3 of 2019 (‘Focus investment-related economic policy on research and innovation’) and country-specific recommendation 3 of 2020 (‘Streamline and accelerate the procedures to provide effective support to small and medium-sized enterprises and self-employed’).

B.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C2.R1): Common policy for research and innovation

The objective of this reform is to support policy coordination in research and innovation.

This measure consists in the entry into force of legal act(s) on research and innovation.

Investment 1 (C2.I1): Programme to support research and innovation

The objective of the investment is to support Bulgaria’s research and innovation performance, technology transfer and information-sharing.

The investment consists in providing financial support to projects by small and medium-sized enterprises and higher education/research institutions, as well as to innovation programmes by higher education institutions.

Investment 2 (C2.I2): Investment in the Bulgarian Academy of Sciences

The objective of the investment is to support the innovation capacity of the Bulgarian Academy of Sciences (BAS).

This investment consists in refurbishing the BAS, measures for the Joint Innovation Centre and a quantum key distribution optical route.

B.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
24	C2.R1: Common policy for research and innovation	Milestone	Entry into force of legal act(s) on research and innovation	Provisions in the legal act(s) indicating the entry into force				Q2	2025	The legal act(s) shall: • define the purpose, principles and scope of the state policy for research and innovation, as well as its sources of funding; • regulate the responsibilities of the Ministry of Education and Science, the Ministry of Innovation and Growth, the Council of Ministers, the Innovation and Research Council, the Scientific Research Fund, and the National Innovation Fund in the field of research and innovation; • define the instruments or mechanisms for policy in the field of research and innovation. With regard to technology transfer policy, the legal act(s) shall define the principles for activities and funding supporting technology transfer.
25	C2.R1: Common policy for research and innovation	Milestone	Legal act(s) related to research and innovation	Entry into force of legal act(s)				Q2	2025	Legal act(s) shall enter into force on: ·the organisation and procedure of the Innovation and Research Council; ·the Scientific Research Fund; ·the National Innovation Fund; ·the procedure for publishing and storing data and publications on the Bulgarian open science portal; ·the terms and conditions for keeping the register of research activities in the Republic of Bulgaria; ·the monitoring and evaluation of the research activities carried out by higher education institutions and scientific organizations, as well as of the activities of the Scientific Research Fund; ·the monitoring and evaluation of the activities of the National Innovation Fund.
28	C2.I1: Programme to support research and innovation	Target	Projects by SMEs and higher education institutions or research organisations		Number	0	15	Q2	2026	12 confirmations from the authorities accepting the final reports by small and medium-sized enterprises awarded a "Seal of Excellence" quality label under Horizon Europe. 3 confirmations from the authorities accepting the final reports by Bulgarian higher education institutions or research organisations which were given a high "above the threshold" evaluation (i.e. above 10 points) by the European Commission, but did not receive European funding under the “The Widening of Participation and Spreading Excellence” component of Horizon Europe.
29	C2.I1: Programme to support research and innovation	Target	Signature of contracts with research higher education institutions		Number	0	9	Q4	2022	Signature of contracts with 9 research higher education institutions based on a decision of the Council of Ministers. The procedure for the selection of the innovation programmes shall be carried out by an evaluation committee, and the subsequent monitoring of the innovation programmes shall be carried out by a monitoring committee. Both committees shall be established within the Ministry of Education and Science and shall operate based on peer-review process. Each contract shall lay down the conditions for the activities to be carried out with the funds, based on the innovation programmes submitted by the higher education institutions. These shall determine a concrete plan for research development and technology transfer and shall specify the participation in a network among the nine research higher education institutions, taking into account gender equality and the importance of green innovations.
29a	C2.I1: Programme to support research and innovation	Milestone	Signature of contract	Signed contract				Q2	2025	Signature of contract with one university.
30	C2.I1: Programme to support research and innovation	Target	Reports approved		Number	0	10	Q2	2026	Final reports on the programmes of each of the research higher education institution shall be approved by the Monitoring and Evaluation Committee.
31	C2.I2: Investment in the Bulgarian Academy of Sciences	Milestone	Measures for the Joint Innovation Centre	Employment contracts signed; Order signed by the president of the BAS; link to electronic portal				Q2	2025	The measures for the Joint Innovation Centre shall cover: a) Five employment contracts signed, one for each of the following areas of expertise: - commercialisation; - intellectual property; - technology transfer with a focus on green and digital technologies; - information technology; - coordinator of relations with business and representatives of the innovation ecosystem; b) An order shall be signed by the president of the BAS on the members of three Science and Innovation Councils; c) An electronic portal for the BAS is accessible and online.
32	C2.I2: Investment in the Bulgarian Academy of Sciences	Milestone	Quantum key distribution optical route	Work on the quantum key distribution optical route carried out				Q2	2025	Work on the quantum key distribution optical route between the A1 Data Centre Lift and the Institute of Robotics at the Bulgarian Academy of Science (IR-BAS) has been carried out.
33	C2.I2: Investment in the Bulgarian Academy of Sciences	Milestone	Refurbishing the Bulgarian Academy of Sciences and research project(s) in the field of green and digital transition	Statement(s) of findings; protocol(s) of delivery and on-site-inspection protocol(s) issued and decision(s) of the Science and Innovation Council(s) issued				Q2	2026	Statement(s) of findings issued for refurbishing a research building (block 12) and a demonstration centre building (block 29a). Protocol(s) of delivery issued for research equipment and on-site-inspection protocol(s) issued for the refurbishment of approximately 4 000 m² of research area. Decision(s) of the Science and Innovation Council(s) issued for 38 research projects in the field of green and digital transition at a Technology Readiness Level between 5 and 7. The call(s) for the research projects shall ensure that the selected projects comply with the Technical Guidelines ‘Do no significant harm’ (2021/C58/01) through the use of the exclusion list.

C. COMPONENT 3: Smart industry

The Smart Industry component of the recovery and resilience plan of Bulgaria aims to create favourable conditions and providing incentives for private investment in Bulgaria. In particular, the component aims to attract industrial investments and developing industrial ecosystems and supporting small and medium-sized enterprises (SMEs) and mid-capitalisation companies (mid-caps) in modernising their technology and in transitioning to green, circular and digital-oriented business practices.

The measures included in the component contribute towards addressing country-specific recommendation 3 of 2019 (‘Focus investment-related economic policy on research and innovation, […] and improving the business environment’) and country-specific recommendation 3 of 2020 (‘Streamline and accelerate the procedures to provide effective support to small and medium-sized enterprises and self-employed, also ensuring their continued access to finance and flexible payment arrangements’ […] Focus investment on the green and digital transition, in particular on clean and efficient production and use of energy and resource).

It is expected that no measure in this component does significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01).

C.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C3.R1): Legal framework to attract industrial investment and develop industrial ecosystems

The objective of the reform is to create favourable conditions for entrepreneurs, investors and research institutions in industrial parks by establishing a framework for the development of industrial ecosystems.

This shall be achieved by the entry into force of the Industrial Parks Act, which shall regulate possible state support and incentives to attract investment in industrial parks; provide for a reduction of the procedures required for industrial investment; and set the minimum standards for industrial park investments to benefit from state support.

The implementation of this reform shall be completed by 31 March 2021.

Investment 1 (C3.I1): Programme for industrial parks and zones (“AttractInvestBG”)

The objective of this investment is to create favourable conditions for investors in the industrial parks and zones.

The investment consists of a grant scheme for the provision of infrastructure in the industrial parks and zones.

Investment 2 (C3.I2): Economic Transformation Programme

The objective of the Economic Transformation Programme is to support the innovation and growth of Bulgarian businesses, in particular by fostering their green and digital transition.

The programme shall support Bulgarian small and medium-sized enterprises and mid-caps through financial instruments and grants. The programme shall consist of three funds:

Fund 1 - Growth and Innovation;

Fund 2 - Green Transition and Circular Economy;

Fund 3 - Climate Neutrality and Digital Transformation.

Fund 1 is composed of the following instruments:

oInvestment 2.1.a - Guarantee instrument for growth

The guarantee instrument shall be implemented as a contribution to InvestEU with the European Investment Fund (EIF) as an implementing partner. By providing a portfolio guarantee, the instrument aims to alleviate the challenges faced by businesses in obtaining credit finance to quickly recover from the COVID-19 crisis and create opportunities for business expansion to achieve growth and sustainable development. The guarantee instrument shall target SMEs and small mid-caps and shall cover various financial products, including working capital funds, revolving credit lines, investment loans, and leasing.

To ensure that the investment complies with the ‘Do no significant harm’ Technical Guidance (2021/C58/01), the contribution agreement between the European Commission and the Bulgarian Government shall:

-require the application of the Commission’s technical guidance on sustainability proofing for the InvestEU Fund; and

-exclude the following list of activities and assets from eligibility: (i) activities and assets related to fossil fuels, including downstream use 1 ; (ii) activities and assets under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks 2 .

The implementation of this investment shall be completed by 30 June 2026 when the InvestEU Investment Committee approves finance or investment operations amounting to 100% of the total amount of finance or investment targeted.

oInvestment 2.1.b - Equity instruments for growth

The objective of this measure is to alleviate the long-lasting economic negative impact of the COVID-19 crisis on Bulgarian undertakings. Equity growth instruments, including venture capital funds, growth funds, mezzanine funds, redemption funds and private debt funds, will be provided to SMEs and mid-caps.

The equity instruments shall be implemented by the EIF as a financial partner (implementing partner) through a direct award to the EIF by a dedicated RRF funding agreement to be signed between the Republic of Bulgaria and the EIF for the management of the RRF supported equity operations.

For general purpose corporate finance instruments, the investment policy shall:

-be adopted by the governing bodies of the financial instrument;

-be in line with the Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments;

-include selection criteria to ensure compliance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01) of supported transactions under this measure

othrough the use of sustainability proofing;

oby requiring that beneficiaries that derived more than 50% of their direct revenues during the preceding financial year from activities or assets on the following list of activities to adopt and publish green transition plans: (i) activities related to fossil fuels, including downstream use 3 ; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks 4 ; and (iii) activities related to waste landfills, incinerators 5 and mechanical biological treatment plants 6 . This requirement could be implemented, for example, by relying on the EIF’s new restricted sectors (non-infra equity Funds – Paris alignment framework), adjusted by certain additional restrictions on ETS sectors and certain transport activities; and

oby requiring the verification of legal compliance with the relevant EU and national environmental legislation of the beneficiary by the EIF for all transactions, including those exempted from sustainability proofing.

The implementation of this investment shall be completed by 30 June 2026 (approval of operations by the responsible Investment Committee amounting to 100% of the overall amount of financing allocated to equity instruments for Growth).

oInvestment 2.1.c - Grant scheme for technological modernisation

The objective of the investment is to provide grants to SMEs for technological modernisation.

The investment consists of a grant scheme for the implementation of projects by SMEs.

oInvestment 2.1.d - Grant scheme for information and communication technology and cybersecurity in small and medium enterprises

The objective of the investment is to provide grants to SMEs for digitalisation.

The investment consists of a grant scheme for the implementation of projects by SMEs.

oInvestment 2.1.e - Innovation pool (Equity instruments for innovation)

The investment consists of setting up a Fund to implement equity instruments for innovation with the objective to increase the innovation capacity of companies, accelerate their productivity improvements and the transition to a knowledge economy. The equity instruments shall include venture capital funds, technology transfer funds, seed and social impact funds.

For general purpose corporate finance instruments, the investment policy shall:

-be adopted by the governing bodies of the financial instrument;

-be in line with the Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments;

-include selection criteria to ensure compliance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01) of supported transactions under this measure

othrough the use of sustainability proofing;

oby requiring that beneficiaries that derived more than 50% of their direct revenues during the preceding financial year from activities or assets on the following list of activities to adopt and publish green transition plans: (i) activities related to fossil fuels, including downstream use 7 ; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks 8 ; and (iii) activities related to waste landfills, incinerators 9 and mechanical biological treatment plants 10 . This requirement could be implemented, for example, by relying on the EIF’s new restricted sectors (non-infra equity Funds – Paris alignment framework), adjusted by certain additional restrictions on ETS sectors and certain transport activities; and

Fund 2 is composed of the following instruments:

oInvestment 2.2.a - Grant scheme for investments in renewable electricity sources for own use with local storage facilities

The objective of this investment is to provide grants to SMEs, small mid-caps and mid-caps for investments in renewable electricity sources and local storage facilities.

The investment consists of a grant scheme for the implementation of projects related to energy storage faciltities.

oInvestment 2.2.b - Guarantee instrument for energy efficiency and renewable energy

The guarantee instrument shall be implemented as a contribution to InvestEU with the EIF as an implementing partner. The instrument aims to address Bulgaria’s challenges in providing support for investments in energy efficiency and renewable energy. The guarantee instrument shall target SMEs, small mid-cap companies and individuals. It is intended to cover a wide range of financial products (e.g. working funds, including revolving credit lines, investment loans, leasing). The sectors to be supported shall be in line with the Regulation (EU) 2021/241 and the eligibility criteria of InvestEU and will be defined following a detailed market assessment.

To ensure that the sub-investment complies with the ‘Do no significant harm’ Technical Guidance (2021/C58/01), the contribution agreement between the European Commission and the Bulgarian Government shall:

-require the application of the Commission’s technical guidance on sustainability proofing for the InvestEU Fund; and

-exclude the following list of activities and assets from eligibility: (i) activities and assets related to fossil fuels, including downstream use 11 ; (ii) activities and assets under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks 12 .

The implementation of this investment shall be completed by 30 June 2025, when the InvestEU Investment Committee approves finance or investment operations amounting to 100% of the total amount of finance or investment targeted.

oInvestment 2.2.c - Grant scheme for the support of businesses in the transition to a circular economy

The objective of this investment is to provide grants for SMEs and large companies in the NACE sector C for the introduction of circular economy production methods.

The investment consists of a grant scheme for the implementation of projects in the area of circular economy.

Fund 3 is composed of the following instrument:

oInvestment 2.3.a - Equity instruments for climate neutrality and digital transformation investments

The instruments aim at investing in assets that contribute to climate neutrality and accelerate the green and digital transition in priority sectors in Bulgaria. This shall be carried out by supporting the creation of infrastructure assets (renewables, biomass, storage, recharging infrastructure for electric vehicles, hydrogen), digital infrastructure (ICT, optical infrastructure, data centres, 5G), urban regeneration, energy efficiency and social infrastructure.

The equity instruments shall be implemented by the European Investment Fund (EIF) as a financial partner (implementing partner) through a direct award to the EIF by a dedicated RRF funding agreement to be signed between the Republic of Bulgaria and the EIF for the RRF supported equity operation.

For general purpose corporate finance instruments, the investment policy shall:

-be adopted by the governing bodies of the financial instrument;

-be in line with the Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments;

-include selection criteria to ensure compliance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01) of supported transactions under this measure through the use of sustainability proofing;

-require that beneficiaries that derived more than 50% of their direct revenues during the preceding financial year from activities or assets on the following list of activities to adopt and publish green transition plans: (i) activities related to fossil fuels, including downstream use 13 ; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks 14 ; and (iii) activities related to waste landfills, incinerators 15 and mechanical biological treatment plants 16 . This requirement could be implemented, for example, by relying on the EIF’s new restricted sectors (non-infra equity Funds – Paris alignment framework), adjusted by certain additional restrictions on ETS sectors and certain transport activities; and

-Require the verification of legal compliance with the relevant EU and national environmental legislation of the beneficiary by the EIF for all transactions, including those exempted from sustainability proofing.

C.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
35	C3.R1: Legal framework to attract industrial investment and develop industrial ecosystems	Milestone	Entry into force of the new Industrial Parks Act	Entry into force of the Industrial Parks Act				Q1	2021	The new Industrial Parks Act shall: - regulate state support and incentives to attract investment in industrial parks; - provide for a shortening of the procedures required for industrial investment; and - set the minimum standards for industrial park investments to benefit from state support.
36	C3.I1: Programme for industrial parks and zones (“AttractInvestBG”)	Target	Selection of industrial parks or zones		Number	0	10	Q2	2025	The Ministry of Innovation and Growth shall select ten industrial parks or zones for grant support. The eligibility criteria shall include a criterion on location in Northern Bulgaria. In order to ensure that the measure complies with the ‘Do no significant harm’ Technical Guidance (2021/C58/01), the eligibility criteria shall exclude the following list of activities: (i) activities related to fossil fuels, including downstream use; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks; (iii) activities related to waste landfills, incinerators and mechanical biological treatment plants. The total funding for the ten approved projects shall be at least EUR 98 million. The grant support to each industrial park or zone shall cover a maximum of 80% of the proposed investment. The remaining share of the investment shall be provided by the industrial park/zone operators.
38	C3.I1: Programme for industrial parks and zones (“AttractInvestBG”)	Target	Projects in the industrial parks/zones		% (Percentage)	0	100%	Q2	2026	Confirmation letter by the Ministry of Innovation and Growth accepting projects for 100% of the contracted acivities for infrustructure works completed in all the industrial parks/zones selected.
40	C3.I2: Investment 2.1.a Guarantee instrument for growth	Milestone	Signature of contribution agreement between the European Commission and the Government of Bulgaria	Agreement signed				Q3	2022	The contribution agreement between the European Commission and the Government of Bulgaria shall: a)require the application of the Commission’s technical guidance on sustainability proofing for the InvestEU Fund; b)exclude activities and assets on the exclusion list specified in the description of the measure from eligibility; c)include criteria to ensure that the financial instrument is in line with Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments. Considering that the proposed instrument shall be implemented following a contribution to InvestEU, the points (a) and (b) above shall be ensured through the application of the InvestEU provisions and the selected Implementing Partner’s lending policy and exclusion criteria. Additional exclusions necessary in order to ensure compliance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01) - including on waste - shall be specified in the guarantee agreement between the European Commission and the European Investment Fund (EIF). The financial instrument shall take the form of a portfolio guarantee, implemented by the EIF, and shall support SMEs and small mid-caps by covering different financial products, including working capital, credit lines, investment loans, and leasing. The financial instrument shall address the current market failures faced by enterprises in accessing finance, in particular challenges following the COVID-19 pandemic, with a view to improve access to credit lines. It is expected that the instrument supports at least 615 beneficiaries. The total amount of RRF funding for the instrument shall be at least EUR 75 million. The structure of the instrument shall enable to leverage private funds. Any returns to the financial instrument, including from repayments, as well as profits obtained through the use of RRF funds, less the remuneration of the fund manager and the financial intermediaries, shall be used for the same policy goals, including after 2026.
42	C3.I2: Investment 2.1.a Guarantee instrument for growth	Target	Operations approved by the InvestEU Investment Committee		% (Percentage)	0	100	Q2	2025	Operations amounting to 100% of the EU Guarantee under the Bulgaria Member State Compartment, excluding related costs and fees, approved by the InvestEU Investment Committee based on the contribution agreement signed between the European Commission and the Government of Bulgaria referred to in milestone 40.
42a	C3.I2: Investment 2.1.a Guarantee instrument for growth	Target	Operations approved by the InvestEU Investment Committee		% (Percentage)	0	100	Q2	2026	Operations amounting to 100% of the EU Guarantee under the Bulgaria Member State Compartment, excluding related costs and fees, approved by the InvestEU Investment Committee based on the supplementary contribution agreement.
43	C3.I2: Investment 2.1.b Equity instruments for growth	Milestone	Signature of financing agreement between the European Investment Fund and the Government of Bulgaria	Agreement signed and investment policy adopted				Q3	2022	The financing agreement between the European Investment Fund and the Government of Bulgaria, and adoption of the investment policy of the Fund. The investment policy shall: a)be adopted by the governing bodies of the financial instrument; b)be in line with the Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments; c)include selection criteria to ensure compliance with the “Do no significant harm” Technical Guidance (2021/C58/01) of supported transactions under this measure - through the use of sustainability proofing; - by requiring beneficiaries that derived more than 50% of their direct revenues during the preceding financial year from activities or assets on the following list of activities to adopt and publish green transition plans: (i) activities related to fossil fuels, including downstream use; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks; and (iii) activities related to waste landfills, incinerators and mechanical biological treatment plants. This requirement could be implemented, for example, by relying on the EIF’s new restricted sectors (non-infra equity Funds – Paris alignment framework), adjusted by certain additional restrictions on ETS sectors and certain transport activities; and by requiring the verification of legal compliance with the relevant EU and national environmental legislation of the beneficiary by the EIF for all transactions, including those exempted from sustainability proofing. The Fund shall provide financial instruments (equity) support for SMEs and mid-caps, including start-ups and early growth companies. The support shall be delivered through venture capital funds and private equity. The management of the Fund shall be entrusted to the EIF. A dedicated RRF funding agreement shall be signed between the EIF and the Government of Bulgaria for the management of the RRF equity supported operations. An investment committee shall be responsible for approving operations with intermediaries as proposed by the fund manager (EIF) based on market needs and in an open and market-conform way. It is expected that the instrument supports at least 24 beneficiaries. The total amount of RRF funding shall be EUR 75 million. The structure of the Fund shall leverage private funds. Any returns to the Fund or financial instruments, including from repayments, as well as profits obtained through the use of RRF funds, less the remuneration of the fund manager and the financial intermediaries, shall be used for the same policy goals, including after 2026.
45	C3.I2: Investment 2.1.b Equity instruments for growth	Target	Operations approved by the Investment Committee		% (Percentage)	0	100	Q2	2026	Finance or investment operations amounting to 100% of the total amount of finance or investment approved by the Investment Committee designated by the government of Bulgaria.
46	C3.I2: Investment 2.1.c Grant scheme for technological modernisation	Milestone	Selection procedures completed	Published list of projects approved for funding and list of reserves				Q4	2022	The selection procedures shall be run in an open and competitive manner. The beneficiaries shall be SMEs. The projects shall support the acquisition of new technology with a focus on the digitalisation of production processes (purchase of new technological equipment focusing on the digitalisation of production processes in order to achieve a market advantage, product customisation, flexibility, efficiency and originality to expand or diversify their production). At least 50% of the cost of the project shall be co-financed by the beneficiary. The total funding to approved projects shall be at least EUR 120 million. In order to ensure that the measure complies with the ‘Do no significant harm’ Technical Guidance (2021/C58/01), the eligibility criteria contained in the terms of reference for upcoming calls for projects shall exclude activities and assets on the exclusion list specified in the description of the measure and require that only activities that comply with relevant EU and national environmental legislation may be selected.
47	C3.I2: Investment 2.1.c Grant scheme for technological modernisation	Target	Bugdet execution – transfer of at least EUR 120 million for technological modernisation		EUR million	0	120	Q2	2025	Transfer of at least EUR 120 million to recipients for technological modernisation.
48	C3.I2: Investment 2.1.d Grant scheme for information and communication technology and cybersecurity in small and medium enterprises	Milestone	Selection procedures completed	Published list of projects approved for funding and list of reserves				Q4	2022	The selection procedures shall be run in an open and competitive manner. The selected beneficiaries shall be SMEs. The projects shall support the acquisition and integration of digital technologies in companies at the first two levels of basic digitalisation (computerisation and connectivity). The grants shall support activities such as the provision of ICT digital marketing services, web-based ICT services for platforms, websites, mobile applications, the acquisition of software to optimise management, manufacturing and logistics processes, the introduction of measures to ensure information and cybersecurity as an important element of the business digitalisation process, the purchase of hardware needed for the operation of new applications and software. The total funding to approved projects shall be at least EUR 14 million. In order to ensure that the measure complies with the ‘Do no significant harm’ Technical Guidance (2021/C58/01), the eligibility criteria contained in the terms of reference for upcoming calls for projects shall exclude activities and assets on the exclusion list specified in the description of the measure and require that only activities that comply with relevant EU and national environmental legislation may be selected.
49	C3.I2: Investment 2.1.d Grant scheme for information and communication technology and cybersecurity in small and medium enterprises	Target	Budget execution - transfer of at least EUR 12.59 million for digitalisation		EUR million	0	12.59	Q4	2025	Transfer of at least EUR 12.59 million to recipients for digitalisation.
50	C3.I2: Investment 2.1.e Innovation Pool (Equity Instruments for Innovation)	Milestone	Signature of financing agreement between the European Investment Fund and the Government of Bulgaria	Agreement signed and investment policy adopted				Q3	2022	Signature of the financing agreement between the EIF and the Government of Bulgaria, and adoption of the investment policy of the Fund. The investment policy shall: a)be adopted by the managing bodies of the financial instrument; b)be in line with Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments; c)include selection criteria to ensure compliance with the “Do no significant harm” Technical Guidance (2021/C58/01) of supported transactions under this measure: - through the use of sustainability proofing, - by requiring beneficiaries that derived more than 50% of their direct revenues during the preceding financial year from activities or assets on the following list of activities to adopt and publish green transition plans: (i) activities related to fossil fuels, including downstream use; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks; and (iii) activities related to waste landfills, incinerators and mechanical biological treatment plants. This requirement could be implemented, for example, by relying on the EIF’s new restricted sectors (non-infra equity Funds – Paris alignment framework), adjusted by certain additional restrictions on ETS sectors and certain transport activities; and by requiring the verification of legal compliance with the relevant EU and national environmental legislation of the beneficiary by the EIF for all transactions, including those exempted from sustainability proofing. The Fund shall provide financial instruments (equity) support for SMEs and small mid-caps (companies with up to 499 employees), including start-ups and early growth companies. The main sectors to be targeted include information and communication technology, industrial automatisation, artificial intelligence, robotics, blockchain, fintech, life sciences, cybersecurity, quantum technologies, Internet of Things, cloud computing, clean and sustainable technologies, social entrepreneurship, and biotechnology and shall aim at supporting investments in human capital, digital and green technology, and in research, development, and technology transfer. The instrument can include a tech transfer/venture build component. The support shall be delivered through venture capital funds and private equity funds. It is expected that the instrument supports at least 30 beneficiaries are. The management of the Fund shall be entrusted to the European Investment Fund (EIF). A dedicated RRF funding agreement shall be signed between the EIF and the Government of Bulgaria for the management of the RRF equity supported operations. An investment committee shall be responsible for approving operations with intermediaries as proposed by the fund manager (EIF) based on market needs and in an open and market-conform way. The total amount of funding shall be EUR 75 million. The structure of the Fund shall leverage private funds. Any returns to the Fund or financial instruments, including from repayments, as well as profits obtained through the use of RRF funds, less the remuneration of the fund manager and the financial intermediaries, shall be used for the same policy goals, including after 2026.
52	C3.I2: Investment 2.1.e Innovation Pool (Equity Instruments for Innovation)	Target	Operations approved by the Investment Committee		% (Percentage)	0	100	Q2	2026	Finance or investment operations amounting to 100% of the total amount of finance or investment approved by the Investment Committee.
53	C3.I2: Investment 2.2.a - Grant scheme for investments in renewable electricity sources for own use with local storage facilities	Milestone	Approved projects	Published list of projects approved for funding				Q2	2025	The total funding to approved projects shall be at least EUR 52 million. The call shall require that: -the beneficiaries shall be SMEs, small mid-caps and mid-caps; -the selected projects shall support the construction of new photovoltaic installations with a capacity of up to 1MW for the production of energy from renewable sources and shall include local storage capacity; -the beneficiaries shall be companies in all NACE sectors except for D — Electricity, steam and gaseous fuels generation and distribution and A — Agriculture, Forestry and Fisheries; -the grant financing does not exceed 50% of the total eligible investment costs; -the proposals comply with the ‘Do no significant harm’ Technical Guidance (2021/C58/01).
55	C3.I2: Investment 2.2.a - Grant scheme for investments in renewable electricity sources for own use with local storage facilities	Target	Capacity of installed storage facilities		Number (kW)	0	54 096	Q2	2026	54 096 kW of capacity installed for storage facilities.
56	C3.I2: Investment 2.2.b - Guarantee instrument for energy efficiency and renewable energy	Milestone	Signature of the contribution agreement between the European Commission and the Government of the Republic of Bulgaria	Signed agreement				Q3	2022	The contribution agreement between the European Commission and the Government of Bulgaria shall: a)require the application of the Commission’s technical guidance on sustainability proofing for the InvestEU Fund; b)exclude activities and assets on the exclusion list specified in the description of the measure from eligibility; c)include criteria to ensure that the financial instrument is in line with Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments. Considering that the proposed instrument shall be implemented following a contribution to InvestEU, the points (a) and (b) above shall be ensured through the application of the InvestEU provisions and the selected Implementing Partner’s lending policy and exclusion criteria. Additional exclusions necessary in order to ensure compliance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01) - including on waste - shall be specified in the guarantee agreement between the European Commission and the European Investment Fund (EIF). The guarantee instrument shall take the form of a portfolio guarantee, implemented by the EIF, and deliver finance and investments in energy efficiency improvements and renewable energy to SMEs, small mid-caps and individuals, through working capital, including revolting credit lines, investment loans, or leasing. The sectors to be supported shall be defined following a detailed market assessment. It is expected that the instrument supports at least 450 beneficiaries. The total amount of RRF funding for the instrument shall be at least EUR 75 million. The structure of the instrument shall enable to leverage private funds. Any returns to the financial instrument, including from repayments, as well as profits obtained through the use of RRF funds, less the remuneration of the fund manager and the financial intermediaries, shall be used for the same policy goals, including after 2026.
58	C3.I2: Investment 2.2.b - Guarantee instrument for energy efficiency and renewable energy	Target	Finance or investment operations approved by the InvestEU Investment Committee		% (Percentage)	0	100	Q2	2025	Finance or investment operations approved by the InvestEU Investment Committee amounting to 100% of the EU Guarantee under the Bulgaria Member State Compartment, excluding related costs and fees.
59	C3.I2: Investment 2.2.c Grant scheme for the support of businesses in the transition to a circular economy	Milestone	Approved projects	Published list of projects approved for funding				Q2	2025	The total funding to approved projects shall be at least EUR 83 million. The call shall require that: -the beneficiaries shall be SMEs and large companies in the NACE sector C – Processing industry; -the selected projects shall support companies in introducing circular economy production methods, which shall support waste reduction, limiting single-use plastics, use of bio-resources, improving ecological standards and energy efficiency of products; -the projects are in compliance with intervention field 047 and 047bis of Annex VII to the RRF Regulation; -the grant financing does not exceed 50% of the total eligible investment cost; -the proposals comply with the ‘Do no significant harm’ Technical Guidance (2021/C58/01).
60	C3.I2: Investment 2.2.c Grant scheme for the support of businesses in the transition to a circular economy	Target	Completed projects in the area of circular economy		Number	0	240	Q4	2025	Companies supported.
61	C3.I2: Investment 2.3.a Equity instruments for climate neutrality and digital transformation investments	Milestone	Signature of a financing agreement between the Republic of Bulgaria and the European Investment Fund	Signed agreement and investment policy adopted				Q3	2022	Signature of the financing agreement between the EIF and the Government of Bulgaria, and adoption of the investment policy of the Fund. The investment policy shall: a)be adopted by the governing bodies of the financial instrument; b)be in line with the Commission’s Guidance Note of 22 January 2021 (SWD(2021) 12 final) related to financial instruments; c)include selection criteria to ensure compliance with the “Do no significant harm” Technical Guidance (2021/C58/01) of supported transactions under this measure - through the use of sustainability proofing; - by requiring beneficiaries that derived more than 50% of their direct revenues during the preceding financial year from activities or assets on the following list of activities to adopt and publish green transition plans: (i) activities related to fossil fuels, including downstream use; (ii) activities under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks; and (iii) activities related to waste landfills, incinerators and mechanical biological treatment plants. This requirement could be implemented, for example, by relying on the EIF’s new restricted sectors (non-infra equity Funds – Paris alignment framework), adjusted by certain additional restrictions on ETS sectors and certain transport activities; and by requiring the verification of legal compliance with the relevant EU and national environmental legislation of the beneficiary by the EIF for all transactions, including those exempted from sustainability proofing. The Fund shall provide financial instruments (equity) support for project special purpose vehicles, as well as SMEs and Small Mid-caps and Mid-Caps for investment in assets that contribute to climate neutrality and accelerate the green and digital transition in priority sectors in Bulgaria. This is expected to be carried out by supporting the creation of infrastructure assets, green energy production and storage infrastructure, including renewables, biomass, storage, recharging infrastructure for electric vehicles, hydrogen, digital infrastructure (ICT, optical infrastructure, data centres, 5G), urban regeneration, energy efficiency and social infrastructure. The support shall be delivered through venture capital funds and private equity. The management of the Fund shall be entrusted to the EIF. A dedicated RRF funding agreement shall be signed between the EIF and the Government of Bulgaria for the management of the RRF equity supported operations. An investment committee shall be responsible for approving operations with intermediaries as proposed by the fund manager (EIF) based on market needs and in an open and market-conform way. It is expected that the instrument supports at least 3 beneficiaries The total amount of RRF funding shall be EUR 30 million. The structure of the Fund shall leverage private funds. Any returns to the Fund or financial instruments, including from repayments, as well as profits obtained through the use of RRF funding, less the remuneration of the fund manager and the financial intermediaries, shall be used for the same policy goals, including after 2026.
62	C3.I2: Investment 2.3.a Equity instruments for climate neutrality and digital transformation investments	Target	Operations approved by the Investment Committee		% (Percentage)	0	100	Q2	2026	Finance or investment operations amounting to 100% of the total amount of finance or investment approved by the Investment Committee designated by the government of Bulgaria.

D. COMPONENT 4: Low-carbon economy

This component of the recovery and resilience plan of Bulgaria addresses the challenge of decarbonising the energy sector. The Bulgarian economy is the most resource- and carbon-intensive in the EU. The intensity of greenhouse gas emissions is more than four times higher than the EU average. The energy sector is the largest emitter of greenhouse gases in Bulgaria, accounting for more than 70 % of the country’s total emissions.

The objective of the component is to decarbonise the economy through a sharp increase in the use of renewables and in energy savings, investments in smart grids, interconnections and storage infrastructure, market reforms and better governance of the energy sector. In particular, the component aims to accelerate the decarbonisation of the energy sector by cutting the carbon dioxide emissions from lignite and coal fired-power plants and by facilitating the deployment of renewables and alternative energy sources. It also aims to reduce both primary and final energy consumption with renovation of the national stock of residential and non-residential buildings, both public and private. Measures on flexibility and digitalisation of the electricity grid and increase of the crossborder interconnections capacities with the neighbouring Member states shall improve market integration. The component also aims to establish a competitive wholesale market through a gradual deregulation of electricity prices by 2025. The component includes measures improving the corporate governance of state-owned enterprises in the energy sector.

These investments and reforms shall support address Bulgaria’s country-specific recommendations of 2019 and 2020 to “focus investment-related economic policy on […] energy infrastructure and energy efficiency” (country-specific recommendation 3, 2019) and to “focus investment on the green and digital transition, in particular on clean and efficient production and use of energy and resources, environmental infrastructure […], contributing to a progressive decarbonisation of the economy, including in the coal regions” (country-specific recommendation 3, 2020).

No measure in this component is expected to do significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01).

D.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C4.R1): Establishment of a National Fund for Decarbonisation

The objective of this reform is to establish the National Fund for Decarbonisation.

The measure consists in an assessment of the national energy efficiency regulatory framework and in the entry into force of legal act(s) establishing the National Fund for Decarbonisation.

Reform 2 (C4.R2): Facilitate investments in energy efficiency renovations in residential buildings

The objective of the reform is to tackle barriers to energy efficiency investments by amending the Condominium Ownership Management Act to facilitate the decision-making by owners of multi-apartment buildings; to regulate the professional management of condominium property in multi-apartment buildings; and to facilitate the application for collective loans to different financial institutions.

The amendments shall be coordinated with related changes to other pieces of primary and secondary legislation. The implementation of the measure is expected to contribute to the efficiency of energy efficiency investments in building renovation.

The implementation of the reform shall be completed by 30 September 2022.

Reform 3 (C4.R3): Definition and criteria for “energy poverty” for households

The objective of this reform is to contribute to tackle energy poverty and protect vulnerable consumers by introducing in the Energy Act and secondary legislation a definition of “energy poverty” and criteria for identifying households in energy poverty and vulnerable consumers. The reform shall take into account the criteria listed in the Directive (EU) 2019/944: low income, high expenditure of disposable income on energy and poor energy efficiency.

The implementation of the reform shall be completed by 31 December 2022.

Investment 1 (C4.I1): Support for the renovation of the building stock

The objective of the measure is to increase the energy efficiency of the building stock.

The measure consists in three sub-measures for energy efficiency renovation of residential buildings, non-residential public buildings and non-residential buildings in the fields of manufacturing, trade and services respectively.

Investment 2 (C4.I2): Support for renewable energy for households

The objective of the measure is to increase the use of renewable energy in final energy consumption by households.

The measure consists in support for the installation of solar systems for domestic hot water supply and of photovoltaic systems.

Investment 3 (C4.I3): Support for energy-efficient street lighting systems

The objective of the measure is to increase energy efficiency and reduce energy costs for municipal lighting systems.

The measure consists in support for energy-efficient street lighting systems.

Reform 4 (C4.R4): Boosting energy efficiency and renewable energy projects through the energy bills

The objective of the reform is to broaden the scope for implementing measures and projects to improve energy efficiency in a context of limited financial resources.

The measure consists of entry into force of legal acts to enable the use of Energy Service Companies (ESCO) models for covering the financing for energy efficiency renovations through the energy bills. The implementation of the reform shall be completed by 31 December 2022.

Reform 5 (C4.R5): One-stop shops for energy efficiency renovations

The objective of the reform is to reduce administrative burden linked to the energy efficiency renovation process.

The measure consists in the designation of one-stop shops for energy efficiency renovations in the country and the establishment of 6 pilot one-stop shops.

Reform 6 (C4.R6): Increasing electricity generation from renewable sources

The objective of this reform is to support a faster expansion of electricity generation from renewable sources.

The reform consists in simplifying the procedures for the installation and connection of renewable energy sources.

Reform 7 (C4.R7): Supporting the green hydrogen value chain

The objective of this reform is to support the green hydrogen value chain.

The reform consists in the entry into force of legal act(s) on the green hydrogen value chain.

Investment 4 (C4.I4): Digital transformation of the electricity transmission grid

The objective of this investment is to increase the share of renewable energy sources, flexibility in the management and monitoring of the electricity system as well as the net cross-border transmission capacity at borders with Member States (i.e., Romania and Greece).

The investment consists in a programme for the digital transformation of the Electricity System Operator.

Reform 8 (C4.R8): Liberalisation of the electricity market

The objective of this reform is to complete the liberalisation of the wholesale electricity market and improve the electricity balancing market. This reform shall consist of the following elements:

-The liberalisation of the wholesale electricity market through entry into force of legal acts, which shall terminate the public supplier role for the Natsionalna Elektricheska Kompania EAD (NEK) and abolish the quotas for the regulated market. It shall also forbid long-term contracts, including power purchase agreements, or any similar measures having the same or equivalent object or effect with the exception of those for electricity from renewable sources or concluded on the power exchange. The long-term electricity purchase contracts for Maritsa East 1 and Maritsa East 3 which expire in 2024 and 2026, respectively shall not be extended and/or benefit of any new State aid support.

-The reform of the electricity balancing market through entry into force of legal acts, which ensure that: (i) the balancing capacity shall be purchased on market terms; (ii) the price of balancing energy suppliers shall be published within 30 minutes after intraday market closure; (iii) a single balancing price shall be introduced for periods without balancing energy activation; (iv) a 15-minute imbalance settlement period shall be introduced; and (v) no price caps for balancing electricity shall be set.

The market coupling on the day-ahead market at the border with Romania as well as with Greece on the intraday market shall be completed by 31 December 2021 and 31 December 2022, respectively.

Reform 9 (C4.R9): Roadmap to Climate Neutrality

The objective of the reform is to provide an updated strategic framework for the decarbonisation of the economy. The reform covers the establishment of an Energy Transition Commission to prepare scenarios and recommendations for a roadmap to Climate Neutrality. The Council of Ministers shall adopt a Decision on a roadmap to Climate Neutrality. The Energy Transition Commission shall be set up at expert level with broad involvement of stakeholders to ensure expertise, independence and pluralism. The Commission shall assess different scenarios for the coal/lignite phase out, including for an accelerated phase-out. The scenario report and the recommendations shall be made public. The scenarios and recommendations developed shall include steps for completing the phase out of coal/lignite at the latest by 2038. The implementation of the reform shall be completed by 30 September 2022.

Reform 10 (C4.R10): Decarbonisation of the energy sector

The objective of this reform is the reduction of carbon dioxide emissions associated with power generation.

The reform consists in: (i) a target for the reduction of the carbon dioxide emissions associated with electricity generation, and (ii) entry into force of legal act(s) on decarbonisation, including a regulatory cap on carbon dioxide emissions from existing lignite and coal fired power plants.

Investment 7 (C4.I7): Increasing the use of renewable energy from geothermal sources

The objective of the investment is to support the production of renewable energy from geothermal sources.

The investment consists in the entry into force of a revised regulatory framework for geothermal energy and the launch of a geothermal tool accessible online.

Investment 8 (C4.I8): National infrastructure for storage of electricity (RESTORE)

The objective of the investment is to support electricity storage facilities.

The investment consists in the installation of electricity storage facilities.

Reform 11 (C4.R11). Improving corporate governance of state-owned companies in the energy sector

The objective of the reform is to increase the transparency and competitiveness of state-owned companies in the energy sector.

The measure consists in the separation of coal-related undertakings from the Bulgarian Energy Holding.

Investment 9 (C4.I9): Subsidy scheme – renovation of residential buildings

This measure shall consist of a public investment in a subsidy scheme in order to incentivise investments in the energy efficiency renovation of residential buildings. The scheme shall operate by providing subsidies to the private sector.

The scheme shall be managed by the Bulgarian Development Bank as the implementing partner.

In order to implement the investment into the scheme, Bulgaria and the Bulgarian Development Bank shall sign an Implementing Agreement that shall include the following content:

1.Description of the decision-making process of the scheme: The final award decision of the scheme shall be taken by an investment committee or other relevant equivalent body and approved by a majority of votes from members who are independent from the government.

2.Key requirements of the associated subsidy policy, which shall include:

a.The description of the subsidies provided and eligible final beneficiaries.

b.The requirement that all investments supported are economically viable.

c.The requirement to comply with the ‘Do no significant harm’ (DNSH) principle as set out in the DNSH Technical Guidance (2021/C58/01). In particular, the subsidy policy shall exclude the following list of activities and assets from eligibility: (i) activities and assets related to fossil fuels, including downstream use 17 ,

(ii) activities and assets under the EU Emission Trading System (ETS) achieving projected greenhouse gas emissions that are not lower than the relevant benchmarks 18 , (iii) activities and assets related to waste landfills, incinerators 19 and mechanical biological treatment plants 20 .

d.The requirement that final beneficiaries of the scheme shall not receive funding from other EU instruments to cover the same costs.

3.The amount covered by the scheme, the fee structure for the Bulgarian Development Bank and the requirement to use any unused proceeds of the scheme, including beyond 2026, for the same policy purposes.

4.Monitoring, audit, and control requirements, including:

a.The description of the implementing partner’s monitoring system to report on the subsidies granted.

b.The description of the implementing partner’s procedures that will ensure the prevention, detection and correction of fraud, corruption, and conflicts of interests.

c.The obligation to verify the eligibility of every operation in accordance with the requirements laid out in the Implementing Agreement before awarding a subsidy.

d.The obligation of carrying out risk-based ex-post audits in accordance with an audit plan of the Bulgarian Development Bank. These audits shall verify i) that the control systems are effective, including the detection of fraud, corruption, and conflict of interests; ii) compliance with the DNSH principle, the State Aid rules; and iii) that the requirement that final beneficiaries of the Scheme have not received support from other Union instruments to cover the same cost is respected. The audits shall also verify the legality of the transactions and that the conditions of the applicable Implementing Agreement are being respected.

D.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)				Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter		Year
63	C4.R1: Establishment of a National Fund for Decarbonisation	Milestone	Assessment of the national energy efficiency regulatory framework published by an independent expert panel	Publication of the assessment of the national energy efficiency regulatory framework on the website of the Energy Ministry				Q3		2022	An assessment of the national energy efficiency regulatory framework shall be carried out by an independent expert panel and it shall: 1.Identify barriers to energy efficiency investments; 2.provide recommendations for changes to the national regulatory framework; 3.Identify options on the structure of the National Fund for Decarbonisation, in particular, on ownership and governance; 4.Identify potential sources for the capitalisation of the National Fund for Decarbonisation.
64	C4.R1: Establishment of a National Fund for Decarbonisation	Milestone	Entry into force of legal act(s) establishing the National Fund for Decarbonisation	Provision in legal act(s) indicating the entry into force				Q2		2025	Entry into force of legal act(s) for the establishment of the National Fund for Decarbonisation. The legal act(s) shall define: (i) the purpose of the Fund, including to finance energy efficiency and renewable energy measures in buildings; (ii) the eligible uses of the Fund’s resources, including for the provision of (a) financial instrument(s), for example credit lines, guarantees and/or a combination of them with a grant component, and (b) technical assistance for the preparation of projects; (iii) the bodies of the Fund and their competencies; (iv) the Fund Manager as a legal person or a consortium of legal persons. Furthermore, the legal act(s) shall provide for the chairperson of the management board to perform the functions of the fund manager until the selection of the first fund manager following the establishment of the National Fund for Decarbonisation.
65	C4.R1: Establishment of a National Fund for Decarbonisation	Milestone	Contract and operating rules	Contract signed and operating rules adopted				Q4		2025	The contract between the Management Board of the National Fund for Decarbonisation and the selected Fund Manager shall be signed, following an open selection procedure. Furthermore, the Management Board of the National Decarbonisation Fund shall adopt the operating rules of the Fund, which shall: (i) include the investment strategy, eligible beneficiaries, and types of instruments; (ii) include details on leverage, sources of funding including private funds, implementation arrangements, financial products, and risk policy.
66	C4.R3: Definition of “energy poverty” and of criteria for identifying households in energy poverty and vulnerable consumers	Milestone	Entry into force of the amendments to the Energy Act and secondary legislation concerning “energy poverty”	Provision in the Energy Act indicating the entry into force of the amendments to the Energy Act and of the secondary legislation				Q4		2022	The amendments to the Energy Act and the subsequent secondary legislation shall regulate the definition of “energy poverty” and define criteria for identifying households in energy poverty and vulnerable consumers. The amendments shall take into account the criteria listed in the Directive 2019/944: low income, high-energy costs as a share of available income and low energy efficiency.
67	C4.R2: Facilitating investments in energy efficiency renovations in residential buildings	Milestone	Entry into force of the amendments to the Condominium Ownership Management Act	Provision in the Condominium Ownership Management Act indicating the entry into force of the amendments				Q3		2022	The amendments of Condominium Ownership Management Act shall: a.facilitate decision-making by owners of individual sites in multi-apartment buildings by reducing the threshold required to support renovation of buildings. b.regulate the professional management by creating the conditions for improving its quality. c.facilitate the application for collective credits by the condominium through the setting up of a joint bank account in the name of the condominium.
68	C4.I1: Support for the renovation of the building stock	Milestone	Establishing a national support scheme for energy efficiency renovation for residential and non-residential buildings	Publication of the Ministerial order establishing the scheme				Q3		2022	The scheme shall include three sub-measures: a.sub-measure 1: Energy renovation of at least 2.15 million m² total gross floor area of residential buildings; b.sub-measure 2: Energy renovation of at least 354 non-residential public buildings; and c.sub-measure 2 and 3 combined: Energy renovation of 524 non-residential buildings The scheme shall ensure a minimum of 30 % of primary energy demand savings compared to pre-renovation state and compliance with the “Do no significant harm” Technical Guidance (2021/C58/01).
69	C4.I1: Support for the renovation of the building stock Sub-measure 1: Renovation of residential buildings	Milestone	Call for proposals for the energy efficiency renovation for residential buildings	Publication of call specifications				Q3		2022	The call for proposals shall be published by the Ministry of Regional Development and Public Works, which is the responsible authority for the energy efficiency renovation of residential buildings. The call shall include the following two stages of application: a.stage 1 – open for applications with 100% grants financing; b.stage 2 – open for applications with 80% grants financing and 20% own financing by homeowners. The two stages of application shall run consecutively and not in parallel.
70	C4.I1: Support for the renovation of the building stock Sub-measure 1: Renovation of residential buildings Sub-measure 2: Renovation of non-residential public buildings and Sub-measure 3: Renovation of non-residential buildings in manufacturing, trade and services	Milestone	Signature of contracts for the energy efficiency renovation of buildings	Signed contracts				Q2		2025	Signature of contracts for the energy efficiency renovation of buildings by the Ministry of Regional Development and Public Works and final beneficiaries and/or municipalities on behalf of final beneficiaries.
71	C4.I1: Support for the renovation of the building stock Sub-measure 1: Renovation of residential buildings	Target	Energy-efficiency renovation of residential buildings		Renovated gross floor area of residential buildings (m2)	0	2.15 million	Q2		2026	Energy-efficiency renovations of residential buildings covering at least 2.15 million m2 have been carried out.
72	C4.I1: Support for the renovation of the building stock Sub-measure 2: Renovation of non-residential buildings, including public buildings and Sub-measure 3: Renovation of non-residential buildings in manufacturing, trade and services	Milestone	Calls for proposals for the energy efficiency renovation for non-residential buildings	Publication of calls specifications for call 1 (public buildings) and call 2 (buildings in manufacturing, trade and services)				Q3		2022	The following two calls for proposals shall be published by the Ministry of Regional Development and Public Works for the energy efficiency renovation of non- residential buildings: a.call for public buildings; b.call for buildings in manufacturing, trade and services.
75	C4.I1: Support for the renovation of the building stock Sub-measure 2: Renovation of non-residential public buildings and Sub-measure 3: Renovation of non-residential buildings in manufacturing, trade and services	Target	Energy efficiency renovation of non-residential buildings		Number	0	524	Q2		2026	Energy efficiency renovations of at least 354 non-residential public buildings and at least 170 non-residential buildings in manufacturing, trade and services, have been carried out.
75a	C4.I9: Subsidy scheme – renovation of residential buildings	Milestone	Implementing Agreement, legal subsidy agreements and transfer of funds	Entry into force of the Implementing Agreement, signature of legal subsidy agreements, certificate of transfer				Q2		2026	Entry into force of the Implementing Agreement. The Bulgarian Development Bank shall have entered into legal subsidy agreements with final beneficiaries for an amount necessary to use 100% of the RRF funds covered by the Implementing Agreement (including management fees). Bulgaria shall transfer EUR 246.5 million to the Bulgarian Development Bank.
76	C4.I2: Support for renewable energy for households	Milestone	Establishing a national renewable energy support scheme for households	Publication of the Ministerial order establishing the scheme				Q4		2022	The scheme shall finance the purchase ‘best in class’ solar domestic hot water (DHW) or photovoltaic systems up to 10kWp and ensure compliance with the ‘Do no significant harm’ Technical Guidance (2021/C58/01).
78	C4.I2: Support for renewable energy for households	Target	Supported households		Number	0	1 500	Q4		2025	Proof(s) of payment(s) for the installation of solar domestic hot water or photovoltaic systems up to 10kWp for at least 1 500 households.
79	C4.I3: Support for energy-efficient street lighting systems	Milestone	Signature of grant contracts for renovation of public lighting systems (call 1)	Signed contracts by Ministry of Energy with the successful applicants				Q3		2022	The grant contracts to renovate public lighting systems shall specify that a reduction in primary energy consumption of at least 30 % to be achieved.
81	C4.I3: Support for energy-efficient street lighting systems	Target	Reduction of energy consumption		Energy savings in Megawatt-hours (MWh) per year	0	120 000	Q2		2026	Reduction of energy consumption, 120 000 MWh per year, following renovation of public street lighting systems.
82	C4.R4: Boosting energy efficiency and renewable energy projects through the energy bills	Milestone	Entry into force of legal acts regarding energy efficiency improvements under Energy Service Companies (ESCO) model.	Provisions indicating the entry into force of the legal acts				Q4		2022	Legal acts shall enable а method of financing energy efficiency improvements using the utility bill as the repayment vehicle. The mechanism shall not allow financing of gas boilers as an option for replacement of oil heating systems.
83	C4.R5: One-stop shops for energy efficiency renovations	Milestone	Establishment of pilot one-stop-shops for energy renovation	One-stop-shop operational				Q4		2022	Six physical pilot one-stop shops shall be operational on a regional basis to provide advice and reduce the administrative burden for both, households and businesses. The one-stop-shop shall integrate all the necessary information and services needed for energy renovation, including on the available EU sources of financial support.
84	C4.R5: One-stop shops for energy efficiency renovations	Target	One-stop shops designated		Number	0	21	Q2		2025	Legal act(s) shall designate 21 regional information centres as one-stop shops for energy efficiency renovations.
85	C4.I4: Digital transformation of the electricity transmission grid	Milestone	Signed contracts or the commencement of works for the upgrade of the national transmission systems	Signed contract(s) by ESO EAD or the commencement of works				Q3		2022	Signature of contracts or commencement of works for the upgrade of the national transmission systems related to the deployment of Substation Automation Systems (SAS) in 171 substations at 110 kV voltage level.
88	C4.I4: Digital transformation of the electricity transmission grid	Target	Increase of maximum monthly net cross-border transmission capacity by 1 600 MW		Megawatts (MW)	1 600	3 200	Q2		2025	1 600 MW of additional maximum monthly net cross-border transmission capacity with Romania and Greece, compared to 2020 levels, shall be made available to the market, as evidenced by data from the ENTSO-e Transparency platform.
89	C4.I4: Digital transformation of the electricity transmission grid	Target	Conditions for the integration of production capacity from renewable sources into the electricity system	Report by an independent engineer	Megawatts (MW)	1 842	6 342	Q2		2026	A report by an independent engineer confirming that the electricity transmission system meets the technical conditions to integrate additional 4 500 MW of production capacity from renewable sources into the electricity system.
90	C4.R7: Supporting the green hydrogen value chain	Milestone	Entry into force of legal act(s) on the green hydrogen value chain	Provision in legal act(s) indicating the entry into force				Q2		2025	Entry into force of legal act(s) on the green hydrogen value chain.
91	C4.R8: Liberalisation of the electricity market	Milestone	Entry into force of legal acts	Provision in the legal acts indicating the entry into force				Q3		2022	The legal acts shall: 1. liberalise the electricity wholesale market at the latest by 1 July 2025 by: - abolishing quota obligations for the regulated market and terminating the role of Natsionalna Elektricheska Kompania EAD (NEK) as public supplier; - prohibiting long-term contracts, including power purchase agreements, or any other similar agreements having the same or equivalent object or effect with the exception of such agreements for energy from renewable sources or those concluded on the power exchange. Upon expiry or early termination of current power purchase agreements, plants that have benefitted from such agreements shall not receive new State aid to support power production from hard coal or lignite; 2. reform the electricity balancing market at the latest by 31 December 2024 by ensuring that: a.the purchase of balancing capacity shall be market-based; b.the price of balancing energy shall be published within 30 minutes after intraday market closure; c.a single balancing price shall be introduced for periods without balancing energy activation; d.a 15-minute imbalance settlement period shall be introduced; e.no price caps for balancing electricity shall be set.
92	C4.R8: Liberalisation of the electricity market	Milestone	Electricity market integration	Completion of the day-ahead and intraday electricity market coupling with Romania and Greece				Q4		2022	The day-ahead electricity market coupling with Romania shall be completed and operational by 31 December 2021. The intraday electricity market coupling with Greece shall be completed and operational by 31 December 2022.
93	C4.R11: Improving corporate governance of state-owned companies in the energy sector	Milestone	Conditions for a new state-owned holding company	Adoption of a Council of Ministers decision				Q4		2025	The Council of Minister shall adopt a decision authorising the Minister of Energy to work on a resolution concerning the corporate restructuring of the Bulgarian Energy Holding. The decision shall require that: -A new state-owned enterprise shall be established, to be set-up as a holding company. It shall be the sole owner of coal-related undertakings previously owned by the Bulgarian Energy Holding; -An auditor shall evaluate the assets to be transferred.
93a	C4.R11: Improving corporate governance of state-owned companies in the energy sector	Milestone	New state-owned holding company	New holding company registered in the commercial register				Q2		2026	A new state-owned enterprise shall be set-up as a holding company and registered in the commercial register. It shall be the sole owner of coal-related undertakings previously owned by the Bulgarian Energy Holding.
95	C4.R6: Increasing electricity generation from renewable sources	Milestone	Entry into force of legal acts	Provisions indicating the entry into force of the legal acts				Q4		2022	Legal acts shall: 1.simplify the permitting procedures for renewable energy installations generating electricity by: a.introducing deadlines for issuance of permits in order to ensure the grid connection procedure does not exceed 6 months. b.introducing accountability procedures in case of delays in the issuance of grid connection permits by distribution and transmission system operators. 2.enable the designation of priority zones for onshore wind parks. 3.simplify the permitting procedure for solar photovoltaic installations for own use up to 1 MW by: a.introducing a notification regime for grid connection without requiring the issuance of an opinion by the distribution system operator. b.phasing out the obligations to declare excise duty for self-generation and to register a tax warehouse.
96	C4.R6: Increasing electricity generation from renewable sources	Milestone	Entry into force of legal act(s)	Provision indicating the entry into force of legal act(s)				Q2		2026	Entry into force of legal acts, which shall: 1. adopt a plan designating priority zone(s) for onshore wind, jointly identifying at least 2 GW of aggregated deployment potential for onshore wind energy production. Among priority zone(s) designated by the plan, there shall be zone(s) with access to existing transmission networks; 2. extend the period of validity of the TSO/DSO opinion on the connection of onshore wind power plants; 3. provide for sharing transmission capacity between multiple renewable energy sources based on criteria and agreements reached between the parties; 4. facilitate the licensing procedure for the activity of electricity distribution in a grid serving integrated energy sites, which are not self-connected to an electricity grid; 5. adopt a methodology for calculating the quantities of electricity produced, distributed for consumption and sold in relation to renewable self-consumption and renewable energy communities. 6. amend trading rules for energy communities and renewable self-consumption.
97	C4.I8: National infrastructure for storage of electricity (RESTORE)	Milestone	Amendment of the national legislative framework to support fast deployment of electricity storage	Provision in the law indicating the entry into force of the amendments				Q4		2022	Amendments to the relevant primary or secondary legislation shall eliminate barriers, introduce a specific regulatory, and support framework for the construction, connection and operation of electricity storage facilities.
105	C4.I7: Increasing the use of renewable energy from geothermal sources	Milestone	Entry into force of legal acts regarding the use of renewable energy from geothermal sources	Provisions indicating the entry into force of the legal acts				Q4		2022	The legal acts shall: d.1. remove key impediments identified in the roadmap for the development of geothermal energy as a renewable energy source; e.2. provide that there is no pollution of groundwater and water surfaces, both in geothermal energy studies and during operation of the installation; f.3. regulate the use of geothermal energy as a resource.
106	C4.I7: Increasing the use of renewable energy from geothermal sources	Milestone	Geothermal tool	Geothermal tool accessible online				Q4		2025	The tool shall allow consumers to calculate the levelized cost of geothermal heat based on geographic location and heat characteristics. The tool shall be publicly accessible.
113	C4.R9: Roadmap to Climate Neutrality	Milestone	Entry into force of the Government Decision establishing the Green Energy Transition Commission	Provision in the Government Decision indicating the entry into force of the Government Decision and the establishment of the Green Energy Transition Commission				Q2		2022	The Government Decision shall establish the Commission and give it a mandate to prepare scenarios and recommendations for a Roadmap to Climate Neutrality. The Commission shall be set up at expert level with broad involvement of stakeholders to ensure expertise, independence and pluralism. The scenario report and the recommendations shall be addressed to the Government and made public. The scenarios and recommendations developed shall include steps for completing the phase out of coal/lignite as soon as possible and at the latest by 2038. The development of the scenarios and of the report is expected to contribute to the timely finalisation of the Territorial Just Transition Plans for the coal regions. The Commission shall assess different scenarios for the coal/lignite phase out, including for an accelerated phase-out to be completed by 2030, in line with comparable neighbouring Member States.
114	C4.R9: Roadmap to Climate Neutrality	Milestone	Adoption by the Council of Ministers of a Decision on a Roadmap to Climate Neutrality	Council of Ministers Decision adopted				Q3		2022	The Council of Ministers shall adopt a Decision on a Roadmap to Climate Neutrality. The Roadmap shall set the final date for the coal/lignite phase out at the latest by 2038, as identified in one of the scenarios developed by the Energy Transition Commission in its Report with scenarios and recommendations.
115	C4.R10: Decarbonisation of the energy sector	Milestone	Entry into force of legal act(s) introducing a CO2 emissions cap for lignite and coal fired power plants	Provision in the legal act(s) indicating the entry into force				Q2		2025	Entry into force of legal act(s) which shall: a.include a prohibition to build and operate new installations for production of electricity from coal or lignite; and b.place an overall limit on the annual amount of carbon dioxide (CO2) emissions for existing coal and lignite fired power plants (“Emission Cap”). The Emission Cap shall be applicable as of 1 January 2026. The Emission Cap shall require that yearly emissions of all existing lignite and coal fired power plants do not cumulatively exceed 10 983 000 tonnes of CO2 until the coal and lignite phase out. The annual Emission Cap shall apply as follows: -In 2026, the Emission Cap of 10 983 000 tonnes of CO2 shall apply to the CO2 emissions in 2026; -In 2027, the Emission Cap of 10 983 000 tonnes of CO2 shall apply to the average CO2 emissions in 2026 and 2027; -As of 2028, the Emission Cap of 10 983 000 tonnes of CO2 shall apply to average CO2 emissions over a rolling three-year period comprising the year concerned and the two previous years. The legal act(s) shall also provide for the annual CO2 emissions to be calculated in accordance with the annual cycle for monitoring, reporting and verification of emissions under the EU ETS.
120	C4.R10: Decarbonisation of the energy sector	Target	Reduction of carbon dioxide emissions from the power sector		Tonnes of CO2	19 438 000	10 983 000	Q2		2026	The carbon dioxide emissions of the existing coal- or lignite-fired power plants shall have been cumulatively reduced in 2025 by at least 8 455 000 tonnes compared to 2019 levels. The reduction shall be calculated by using the annual verified carbon dioxide emissions for electricity generation from coal and lignite as recorded in the Union Emissions Registry (EU ETS). The reduction shall be measured as the difference between the sum of all verified carbon dioxide emissions from the existing coal- and lignite-fired power plants for 2025 and the sum of all verified carbon dioxide emissions from coal- lignite-fired power plants for 2019.
122	C4.I8: National infrastructure for storage of electricity (RESTORE)	Milestone	Signature of contracts for electricity storage facilities	Signature of contracts				Q2		2025	Signature of contracts for grant support for electricity storage facilities. The selection procedure shall require a discharge period of at least 2 hours and a capacity of at least 10 MW.
125	C4.I8: National infrastructure for storage of electricity (RESTORE)	Target	Electricity storage facilities		Megawatt-hours (MWh)	0	3 000	Q2		2026	72h testing protocol(s) showing installation and connection to the electricity grid have been issued for electricity storage facilities for 3 000 MWh of usable energy capacity.

E. COMPONENT 5: Biodiversity

This component of the Bulgarian recovery and resilience plan aims at ensuring effective management of the National Ecological Network with a view to protecting and restoring ecosystems and natural habitats and species of European and national importance.

E.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C5.R1): Establishment of the governance structure of the Natura 2000 Network

The objective of the measure is to build effective Natura 2000 management structures.

The measure consists of legislative changes, which set up structures for managing the Natura 2000 network at national and regional level and introduce requirements for developing network management plans. The legislative changes shall also introduce the requirement that all protected areas are managed on the basis of planning documents, which shall define site-specific conservation objectives and measures.

The implementation of the reform shall be completed by 30 September 2022.

E.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
126	C5.R1: Establishment of the governance structure of Natural 2000 Network	Milestone	Amendments to the Biodiversity Act	Entry into force				Q3	2022	The amendments to the Biodiversity Act shall introduce the requirement to create structures for the management of the Natura 2000 network at national and regional level and to develop network management plans. The amendments shall also introduce the requirement that all protected areas are managed on the basis of planning documents, which shall define site-specific conservation objectives and measures.

F. COMPONENT 6: Sustainable agriculture

This component of the Bulgarian recovery and resilience plan aims at enhancing the sustainable management and competitiveness of the Bulgarian agricultural sector in the context of the green transition.

The component contributes to addressing the country-specific recommendations for the years 2019 and 2020 that recommend focusing investment and investment-related policies on the green transition (country-specific recommendation 3 of 2019 and country-specific recommendation 3 of 2020).

F.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C6.R1): National Action Programme

The objective of this reform is to contribute to the objectives of the Farm to Fork Strategy 2030.

The measure consists in adopting the National Action Programme.

Investment 1 (C6.I1): Technological and ecological transition of agriculture

The objective of this investment is to support the technological and ecological transition of the Bulgarian agricultural sector.

The measure consists in the delivery of at least 1 700 projects to support the technological and ecological transition of the agricultural sector.

Investment 2 (C6.I2): Digitalisation of processes from farm to fork

The objective of the measure is to facilitate the automated data exchange between the administration and farmers.

The measure consists in the electronic agricultural information system being accessible.

F.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
131	C6.R1: National Action Programme	Milestone	Adoption of the National Action Programme	Adoption by the Council of Ministers				Q2	2025	The National Action Programme for contributing to the achievment of the objectives of the Farm to Fork Strategy 2030 shall be adopted.
134	C6.I1: Technological and ecological transition of agriculture	Target	Projects under the Fund to promote the technological and ecological transition of agriculture		Number	0	1 700	Q2	2026	Extract(s) on payment(s) issued from the Information System for Management and Monitoring of EU funds in Bulgaria (EUMIS) for at least 1 700 projects under the Fund to promote the technological and ecological transition of agriculture. The grant agreements shall ensure that the projects comply with the ‘Do no significant harm’ Technical Guidance (2021/C58/01).
136	C6.I2: Digitalisation of processes from farm to fork	Milestone	Electronic agricultural information system	Electronic agricultural information system accessible				Q4	2025	Taking-over protocol issued, confirming that the electronic agricultural information system including the communication network of field and rain sensors and four modules is accessible.

G. COMPONENT 7: Digital connectivity

This component of the Bulgarian recovery and resilience plan contains measures that aim at building a modern and secure digital infrastructure and maximising the access to online services for citizens, enterprises, public administrations and institutions, especially in rural and remote areas.

The investments included under this component concern the large-scale expansion of digital infrastructure and digital TETRA system and radio relay network.

The reforms included under this component aim to contribute to the development and implementation of an effective policy and regulatory framework, the assignment of radio frequency spectrum for the development of 5G networks and services and the creation of a favourable investment environment.

The component supports addressing the 2019 and 2020 country-specific recommendations of the Council and will directly or indirectly contribute to addressing aspects of country-specific recommendation for 2019 and 2020. In particular, the reforms and investments included in this component contribute to strengthening “employability by reinforcing digital skills” (country-specific recommendation 4, 2019), to improving access to distance working and promoting digital skills and equal access to education (country-specific recommendation 2, 2020), and to focusing investments on the green and digital transition (country-specific recommendation 3, 2020), minimising administrative burden to companies by improving the effectiveness of public administration and reinforcing digital government (country-specific recommendation 4, 2020).

G.1. Description of the reforms and investments for non-repayable financial support

Reform 2 (C7.R2): Assignment of radio frequency spectrum

The objective of the reform is to address the challenges of 5G readiness and promote the accelerated rollout of 5G networks.

The reform consists in reducing spectrum fees and assigning spectrum rights in several bands.

Reform 3 (C7.R3): Creating a favourable investment environment

21 The reform aims to address key recommendations of the Common Union Toolbox for Connectivity, and shall:

-Streamline the permit procedures for the construction, maintenance, equipment and/or improvement of radio transmission systems, as well as their replacement or completion by assembling or dismantling elements of the radio transmission system;

-Extend the right of accessing existing physical infrastructure controlled by public sector bodies to commercial operators where the latter have no interest in building such networks or would consider shared use as an opportunity to reduce their investment costs;

The implementation of this measure shall be completed by 30 June 2021.

Investment 1 (C7.I1): Large-scale expansion of digital infrastructure

The objective of this investment is to support the expansion of digital infrastructure.

The investment consists in upgrading the state backbone network and supporting the expansion of very high capacity networks (“VHCN”).

Investment 2 (C7.I2): TETRA system and radio relay network

The objective of the investment is to increase the national coverage of the TETRA network.

The investment consists in the delivery of equipment based on the TETRA standard.

G.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
137	C7.R2: Assignment of radio frequency spectrum	Milestone	Entry into force of the decree on the reduction of spectrum fees	Provision in the decree of the Council of Ministers indicating the entry into force of the reduction of spectrum fees				Q1	2021	The Decree of the Council of Ministers shall establish the reduction of the one-time fee for the use of the radio spectrum by 50% and reduction of the annual fee for the use of the spectrum by 35%. This concerns the fees under the Law on electronic communications levied by the Communications Regulation Commission.
138	C7.R2: Assignment of radio frequency spectrum	Milestone	Notification of assignment of the rights of use to operators in the 26 GHz spectrum band	Notification of assignment				Q4	2022	Notification of assignment of rights of use to operators in the 26 GHz spectrum band.
139	C7.R2: Assignment of radio frequency spectrum	Milestone	Entry into force of decision(s) by the Communications Regulation Commission assigning rights in the 700 MHz and 800 MHz spectrum bands	Provision in the decision(s) indicating the entry into force				Q2	2025	Entry into force of decision(s) by the Communications Regulation Commission assigning rights of use to operators in the 700 MHz and 800 MHz spectrum bands.
140	C7.R3: Creating a favourable investment environment	Milestone	Entry into force of legislative changes implementing recommendations under the Connectivity Toolbox	Provision in the Law on spatial planning and in the decision 558 of the Council of Ministers indicating the entry into force of legislative changes				Q4	2020	Legislative changes shall ensure that: -No building permit is required for maintenance, equipment and/or improvement of elements of the radio transmission systems, as well as their replacement; -Free capacity of fibre networks controlled by public sector bodies may be provided for use to commercial operators; -Publicly funded infrastructure projects, shall by default design construction of protective pipes and cable trunks in a way which shall be open for use by all operators.
146	C7.I1: Large-scale expansion of digital infrastructure	Milestone	Upgrade of the State backbone network	State backbone network upgraded				Q2	2026	Acceptance protocol(s) shall be provided, demonstrating the delivery and/or installation of equipment, with which: -1 200 providers of services of general interest have been granted access to at least 10 Gbps access points; -24 universities and scientific institutes have been granted access to 200 Gbps access points; -185 municipalities have been provided with access nodes, part of the state network.
147	C7.I1: Large-scale expansion of digital infrastructure	Milestone	Access to very high capacity networks (VHCN)	Access to very high capacity networks provided				Q2	2026	Access to VHCN shall be provided for settlements covering at least 350 000 people.
148	C7.I2: TETRA system and radio relay network	Milestone	Award of contracts for development of TETRA system and radio relay network	Communication of awards				Q2	2022	The public procurement procedures shall be carried out through an open and competitive tender. Two public procurement procedures with the following subjects shall be conducted: -Building, development and optimisation of the digital TETRA system and microwave network managed by the Ministry of Interior needed for its building as a unified radio communication system for providing a communication environment for management, interaction, and coordination of state units; -Delivery of terminal devices and equipment needed for adding 14 000 subscribers from all state institutions to the TETRA network.
149	C7.I2: TETRA system and radio relay network	Milestone	Delivery of equipment based on the TETRA standard	Equipment delivered				Q2	2025	Acceptance protocols shall be provided proving the delivery of: -14 000 end user devices based on the TETRA standard; -109 base stations based on the TETRA standard.

H. COMPONENT 8: Sustainable Transport

The main objective of the component is to enhance the sustainability of the transport sector by reforming the road and railways sectors, promoting zero-emission vehicles, enhancing road safety, and investing in railways, intermodal transport and sustainable urban mobility. This includes investments in the modernisation and digitalisation of railways, new zero-emission rolling stock, and clean public transport. The component is expected to contribute to the green and digital transition, as well as towards a more balanced territorial growth.

The reforms and investments included in Component 8 on Sustainable Transport are expected to contribute to addressing the country-specific recommendations conveyed to Bulgaria in 2019 and 2020, on the need to focus investments on sustainable transport.

No measure in this component is expected to do significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01).

H.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C8.R1): Strategic transport framework

The objective of the reform is to increase the sustainability of transport in Bulgaria.

The reform consists in the entry into force of a national plan, the publication of a market assessment and the signature of a new public service contract for the provision of public rail transport services.

Reform 2 (C8.R2): Road safety

The objective of the reform is the improvement of road safety, as Bulgaria has one of the highest rate of road accident fatalities in the EU.

The reform includes setting up a conceptual framework for new road safety management in a single integrated strategic document for 2021-2030.

Reform 3 (C8.R3): Sustainable urban mobility

The objective of the reform is to promote the sustainable urban mobility, through the use of Sustainable Urban Mobility Plans integrated into territorial strategies for the development of NUTS 2 (Nomenclature of Territorial Units for Statistics) planning regions and integrated into development municipal plans.

Reform 4 (C8.R4): Integrated public transport

The objective of the reform is to increase the quality and efficiency of the public transport service.

The reform consists in the entry into foce of legal act(s) relating to public transport.

Reform 5 (C8.R5): Electric mobility

The objective of the reform is to increase the uptake of zero-emission and low-emission transport in Bulgaria.

The reform consists in the entry into force of legal act(s) on electric mobility as well as the introduction of low-emission zones.

Investment 1 (C8.I1): Railways rolling stock

The objective of the investment is to increase the uptake of the zero-emission railways rolling stock.

The investment consists in the procurement of railways rolling stock.

Investment 5 (C8.I5): Road safety

The objective of the investment is to support the road safety activities on Bulgarian roads.

The investment consists in the purchase of special-purpose equipment for road safety.

Investment 6 (C.8.I6): Sofia metro line 3

The objective of the investment is to build kilometers and stations of the metro in Sofia.

The investment consists in building 3 kilometers and 3 stations of the metro in Sofia.

Investment 7 (C8.I7): Green mobility

The objective of the investment is to support sustainable urban mobility measures.

The investment consists in purchasing zero-emission vehicles and building electric charging stations for public transport vehicles as well as cycling paths and pedestrian crossings.

Investment 8 (C8.I8): Equipment for monitoring or maintenance of railway tracks and overhead lines

The objective of the investment is to support the monitoring or maintenance of railway tracks and overhead lines.

The investment consists in the delivery of equipment and wagons.

Investment 9 (C8.I9): Renovation of railway infrastructure

The objective of the investment is to support the renovation of the Bulgarian railway network.

The investment consists in the renovation of railway lines and overhead lines.

Investment 10 (C8.I10): Metro rolling stock

The objective of the investment is to purchase rolling stock for the metro.

The investment consists in the delivery of 8 metro trains.

H.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq N°	Related Measure (Reform or Investment	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
161	C8.R1: Strategic transport framework	Milestone	Entry into force of the National Plan for the Development of Combined Transport in Bulgaria by 2030	Entry into force the plan via approval of the government				Q2	2022	The National Plan for the Development of Combined Transport in Bulgaria by 2030 shall enter into force via approval by the Council of Ministers. The National Plan for the Development of Combined Transport in the Republic of Bulgaria by 2030 shall encourage and facilitate modal shift towards more environmentally friendly modes of transport - rail, inland waterway and maritime - and achieve a more sustainable and less polluting impacts of transport with a clear action plan including objectives, resources and timeline until 2030.
162	C8.R1: Strategic transport framework	Milestone	Strengthening the capacity to manage and implement TEN-T railways projects	Independent audit completed				Q4	2022	The responsible bodies for transport investments, such as the National Railway Infrastructure Company (NRIC), Road Infrastructure Agency, together with the Ministry of Transport and Communication, shall be subject to an independent audit of their organisation, administrative and technical capacity to carry out the management and coordination, tendering procedures, financial management, monitoring, and internal quality control and reporting. The audit shall include the definition of the organisation, coordination, split of responsibilities and resources (quantity and profile of staff, other technical resources) needed to prepare and implement TEN-T projects in view of the objective of completing the TEN-T core network by 2030.
163	C8.R1: Strategic transport framework	Milestone	Measures on transport	Measures by the Ministry of Transport and Communications taken				Q4	2025	The Ministry of Transport and Communications (MTC) shall: ·Approve an action plan with milestones, timeline and performance indicators on the capacity of the National Railway Infrastructure Company (NRIC) and MTC to manage TEN-T projects; ·Create a joint coordination working group(s) between the MTC and the NRIC on project planning and reporting; ·Update the monitoring system to track progress of the implementation of the rail infrastructure projects.
164	C8.R1: Strategic transport framework	Milestone	Market assessment on the scope of public service obligation	Publication of the market assessment on the website of the Ministry of Transport and Communications				Q2	2025	Market assessment on the scope of the public service obligation for the new public service contract (PSC) shall be published. The market assessment shall indicate whether a less distortive measure than a PSC award can be used.
165	C8.R1: Strategic transport framework	Milestone	New public service contract (PSC) for public rail transport services	Signature of contract				Q4	2025	The new public service contract for the provision of public transport services by rail in Bulgaria shall be signed following a tender procedure. The new public service contract shall provide for its entry into force no later than 13 December 2026. The tender shall be divided into multiple lots. The new contract shall include the following provisions: -The rolling stock aquired after 2009, including under RRP, shall be provided to the operator(s) for free use and shall be determined in proportion to the volume of the service that will be performed. -The operator(s) shall have the possibility to rent the rolling stock acquired before 2009 and owned by the current operator. -The operator(s) shall be obliged to return the rolling stock to the owner in the condition in which it was received, taking into account the normal depreciation rate. -When calculating the compensation to operator(s), the public financing of the vehicles for their entire economically useful life shall be taken into account.
169	C8.R2: Road safety	Milestone	New road safety strategy and its action plan	Adoption by the government				Q4	2020	The National Strategy for road safety in the Republic of Bulgaria for the period 2021-2030 and Action Plan (2021-2023) shall enter into force. The new road safety strategy shall include the following objectives: ·reduction of deaths and serious injuries due to road accidents of 50% by 2030 vs the 2019 baseline, in line with EU Road Strategy Framework and vision Zero; ·integrated management of all road safety issues - in-depth coordination of relevant institutions and enhancement on administrative capacity for road safety management (based on studies, analysis, needs assessment, prioritisation and planning, monitoring, evaluation and reporting); ·social responsibility and changes in the behaviour of road users; ·support on the law enforcement, effective prevention of road safety rules violation, and increase of sanctions for road safety offences; ·increase of vehicle safety; ·protection of vulnerable road users, e.g. pedestrians and cyclists; ·improvement on the after road traffic accident injury response.
173	C8.R3: Sustainable urban mobility	Milestone	Integration of sustainable urban mobility into territorial strategies and development planning	Entry into force of Integrated Territorial Strategies and Integrated Municipal Development Plans				Q3	2022	The milestone refers to preparation and entry into force of: ·Integrated Territorial Strategies for the development of NUTS 2 (Nomenclature of Territorial Units for Statistics) planning regions with inclusion of elements of sustainable urban mobility ·Integrated Municipal Development Plans The Integrated Territorial Strategies of the NUTS 2 level planning regions shall define the development objectives and priorities of each of the six planning regions as well as the measures necessary for their implementation. Integrated Territorial Strategies shall include elements for sustainable urban mobility planning at regional level. In addition, Municipalities’ Sustainable Urban Mobility Plans shall either be part of the Integrated Municipal Development plans or adopted and published individually by the municipalities.
176	C8.R4: Integrated public transport	Milestone	Entry into force of legal act(s) on public transport	Provision in the legal act(s) indicating the entry into force				Q4	2025	The legal act(s) on public transport shall provide for: -rules for management of travel data in real time, -establishment of a transport network with coordinated timetables, -rights and/or responsibilities of operator(s) and passengers. The legal act(s) shall regulate the establishment and maintenance of a National System for a Single Transport Document as well as the timeframe for its entry into force. Technical specifications for the National System for a Single Transport Document shall be approved by the relevant ministry.
178	C8.R5: Electric mobility	Milestone	Entry into force of legal act(s) on electric mobility	Provision indicating the entry into force of legal act(s)				Q4	2025	The legal act(s) shall provide for: -simplification of the connection procedure for charging stations installed for personal use; -an obligation for municipalities with a population of more than 5 000 inhabitants to provide locations for at least one publicly accessible charging station. The legal act(s) shall also introduce an annual tax depreciation rate for electric vehicles.
181	C8.R5: Electric mobility	Milestone	Low-emission zones	Low-emission zones introduced				Q4	2025	Low-emission zones shall be introduced in the centres of at least three of the following cities: Sofia, Plovdiv, Varna, Bourgas, Ruse and Stara Zagora, or in the centres of at least two of those cities, where at least one of them has a population exceeding one million inhabitants. The entry and circulation of cars with emission standards EURO 3 or below shall be prohibited into those zones.
184	C8.I1: Railways rolling stock	Milestone	Signature of contracts for the purchase of zero-emission railways rolling stock	Contracts signed				Q2	2025	Contracts shall be signed, following public procurement procedure(s), for the purchase of: - At least 12 zero-emission electric multiple units with a minimum capacity of 200 seats, equipped with ERTMS on-board equipment; - 20 single-deck zero-emission electric multiple unit trains with a capacity of at least 300 seats, equipped with ERTMS on-board equipment; - 9 battery shunting locomotives with digital remote-control. The contracts shall specify that the Bulgarian Ministry of Transport and Communications shall become the owner of the rolling stock.
186	C8.I1: Railways rolling stock	Target	Zero-emission railways rolling stock		Number	0	41	Q2	2026	- Report(s) of findings shall be signed for 12 zero-emission electric multiple units with a minimum capacity of 200 seats, equipped with ERTMS on-board equipment. An acceptance protocol shall be signed for at least one electrical multiple unit. - Report(s) of findings shall be signed for 20 single-deck zero-emission electric multiple unit trains with a capacity of at least 300 seats, equipped with ERTMS on-board equipment. An acceptance protocol shall be signed for at least one electrical multiple unit. - Acceptance protocols shall be signed for 9 battery shunting locomotives with digital remote-control.
197	C8.I5: Road safety	Milestone	Equipment for road safety	Contracts signed				Q2	2026	Contracts shall be signed for the purchase of the following equipment: - 31 special-purpose vehicles; - 2 software applications for 1) the management of road activities, 2) the reporting signals concerning the road infrastructure. The special-purpose vehicles shall represent the best available levels of environmental performance in the sector.
199	C8.I6: Sofia metro line 3	Milestone	Contracts on the construction of new sections of line 3 of Sofia metro following open and competitive tender	Signature of contracts on the construction works				Q2	2022	The contracts for line 3 of Sofia metro shall be signed, following an open, public and competitive tender. The contracts shall include the construction of 3 km of metro lines and 3 stations on the new line section Hadzhi Dimitar – Levski. The contracts shall provide for a clean urban transport infrastructure for the operation of zero-emission rolling stock, thus that infrastructure shall exclusively be used by zero-emission rolling stock.
200	C8.I6: Sofia metro line 3	Target	Construction of metro line 3 in Sofia		Percentage (%)	0	60	Q2	2025	Construction works of of the metro line 3 in Sofia shall reach 60%, as certified by supervision report.
201	C8.I6: Sofia metro line 3	Target	Metro line 3 in Sofia		Number of km and stations constructed	0	3/3	Q2	2026	3 km and 3 stations of metro line 3 in Sofia shall be constructed.
201a	C8.I10 Metro rolling stock	Target	Metro trains		Number	0	8	Q2	2026	Commissioning protocol(s) signed for 8 metro trains.
203	C8.I7: Green mobility	Milestone	Zero-emission vehicles, charging stations, lighting for pedestrian crossings and cycling infrastructure	Purchase and/or construction				Q2	2026	68 zero-emission vehicles (buses and/or trolleybuses) shall be purchased. 27 charging stations for public transport vehicles (electric and/or hydrogen) shall be built. Lighting for 258 pedestrian crossings shall be built. 26 km of cycling infrastructure shall be constructed.
206a	C8.I8: Equipment for monitoring or maintenance of railway tracks and overhead lines	Target	Acceptance protocol(s) for equipment		Units of equipment	0	44	Q2	2026	Acceptance protocol(s) issued for at least 40 units of equipment and 4 wagons. In line with the ‘Do no significant harm’ principle technical guidelines, the machinery shall be zero-emission (electric/hydrogen) or have tailpipe emission below 50g CO2/km or, for special-purpose vehicles, where no zero-emission alternative exists, the machinery to be purchased shall represent the best available levels of environmental performance in the sector.
206b	C8.I9: Renovation of railway infrastructure	Target	Renovation of railway lines and overhead lines		Km of railway lines and overhead lines	0	65	Q2	2026	51 km of railway lines and overhead lines shall be renovated. Track layout in 4 railway stations, with a total length of 14 km, shall be renovated.

I. COMPONENT 9: Local development

This component of the Bulgarian recovery and resilience plan aims at setting the framework for improving the competitiveness and sustainable development of the regions of the country and promoting local development. The component also targets water management, which is an important aspect of the green transition.

The component contributes to addressing the country-specific recommendations for the years 2019 and 2020 that recommend taking into account regional disparities and focusing on water and in particular on environmental infrastructure (Country-Specific Recommendation 3 of 2019 and Country-Specific Recommendation 3 of 2020).

I.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C9.R1): A new regional approach with the direct involvement of local communities in the management of European funds and instruments

The objective of the measure is to promote the direct involvement of local communities in each region of the country in the management of EU funds. This is expected to boost the sense of ownership at local level and to increase policy effectiveness by addressing locally identified needs in a more targeted way.

The measure consists of legislative changes strengthening the role of regional and local authorities in the preparation and implementation of integrated territorial strategies and projects financed with EU funds.

Reform 2 (C9.R2): Water supply and sewerage reform

The objective of the measure is to reform the regulatory framework for water supply and sewerage.

This measure consists in the entry into force of legal act(s) on water supply and sewerage.

I.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial

Seq. N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
207	C9.R1: A new regional approach with the direct involvement of local communities in the management of European funds and instruments	Milestone	Amendments to the regulatory framework regarding management of EU funding	Entry into force of the amendments to the Financial Resources Management of the European Structural and Investment Funds Act				Q2	2022	The amendments to the Financial Resources Management of the European Structural and Investment Funds Act shall enhance the direct involvement of the regional and local level in the management of EU funds by strengthening their role in the design and implementation of integrated territorial strategies and projects. Under this revised legal framework, the Regional Development Councils (which include representatives of the regional and local authorities) shall function as territorial bodies responsible for the implementation of strategic documents at regional planning level and for the preselection of projects to be financed with EU funds at local level on the basis of integrated territorial development strategies.
208	C9.R2: Water supply and sewerage reform	Milestone	Entry into force of legal act(s) on water supply and sewerage	Provision(s) indicating the entry into force of legal act(s)				Q4	2025	Entry into force of legal act(s), which shall provide that: -The price regulation of water and sewerage services is guided by (i) the recoverability of economically justified costs, (ii) the application of an economically sound rate of return on capital employed, and (iii) the consistency between prices and actual costs for the provision of the water and sewerage services. -The territory of Bulgaria is divided into separate areas, in line with the administrative districts, for the provisioning of water and sewerage services and that within a single area the activities may be carried out by only one water and sewerage operator. -The Energy and Water Regulatory Commission defines uniform requirements for water and sewerage services throughout the country through quality and performance indicators.

J. COMPONENT 10: Business environment

This component aims to strengthen the potential for sustainable growth and increase the overall resilience of the Bulgarian economy by addressing challenges in the overall business environment and improving the institutional framework. It includes reforms and investments in areas such as justice, the fight against corruption, the digitalisation of the public administration, the governance of state owned enterprises, anti-money laundering, the quality of the legislative process, public procurement, and audit and control mechanisms.

The measures included in the component contribute to addressing country-specific recommendation 1, 2 and 3 of 2019, and country-specific recommendation 4 of 2020 in relation improving the business environment, minimising administrative burden to companies by improving the effectiveness of public administration and reinforcing digital government, ensuring an effective functioning of the insolvency framework, and stepping up the efforts to ensure adequate risk assessment, mitigation, effective supervision and enforcement of the anti-money laundering framework, and upgrading the corporate governance of State-owned enterprises.

J.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C10.R1): Reform in the justice system

The objective of this reform is to improve the justice system and contribute to its accessibility.

The reform consists in (i) the entry into force of legal act(s) on the digitalisation of certain judicial acts and processes; (ii) the entry into force of legal act(s) related to free legal assistance and exemptions from court fees; and (iii) the adoption of a roadmap related to follow-up on judgments of the European Court of Human Rights.

Reform 2 (C10.R2): Anti-corruption

The objective of this reform is to further combat corruption at all levels of public administration, justice and prosecution systems.

In particular, the reform shall:

·ensure that the National Council on Anti-Corruption Policies monitors the implementation of the National Strategy for Preventing and Combatting Corruption and its associated Roadmap by adopting report(s) on their implementation;

·improve the role of the Inspectorate of the Supreme Judicial Council in the prevention and counteracting corruption through revised ethical guidelines and trainings. This shall not lead to increase in the disciplinary powers of the Inspectorate. The Venice Commission shall be consulted before the Inspectorate revises the guidelines and organises the trainings;

·introduce tools to counter corruption and enhance the integrity of civil servants holding positions of high corruption risk in the central executive branch;

·introduce tools for countering corruption and enhancing integrity in the State-Owned Enterprises;

·set up an Anti-Corruption Body with the authority to investigate and gather evidence, subject to legal safeguards for the rights and freedoms of individuals and businesses.

With the objective of ensuring the effectiveness of criminal investigations and the accountability and criminal liability of the Prosecutor General, the reform shall:

·introduce the possibility of a judicial review of a prosecutor’s decision not to open an investigation;

·introduce annual reporting by the Prosecutor General on investigations and convictions in corruption cases;

·provide for the necessary safeguards and guarantees for an independent investigation of the Prosecutor General and their deputies.

Finally, the reform shall include legislative measures to protect whistle-blowers and to regulate lobbying activities in the context of public decision-making.

The implementation of the reform shall be completed by 30 June 2026.

Reform 3 (C10.R3): Legal acts regarding the mediation framework

The objective of this reform is to support the uptake of mediation in Bulgaria.

This shall be achieved by legal acts, which shall provide that the court, in certain civil and commercial cases, obliges the parties to take part in an information meeting on the mediation procedure.

The implementation of the reform shall be completed by 31 December 2022.

Reform 4 (C10.R4): Measures concerning the insolvency framework

The objective of this reform is to introduce new measures aimed at increasing the efficiency of insolvency and restructuring procedures.

The reform consists in the entry into force of legal act(s) and adoption of guidelines regarding insolvency or restructuring procedures, organising trainings, upgrading electronic tool(s), as well as statistical data publication.

Reform 5 (C10.R5): Digital reform of the Bulgarian construction sector

The objective of this reform is to lay the foundation for the digital transformation of the construction sector in Bulgaria.

The reform consists in the approval by the Council of Ministers of a strategy and a roadmap to introduce the Building Information Modelling.

Reform 6 (C10.R6): Registry reform to unlock the potential of eGovernment

The objective of this reform is to support the organisation, quality, and security of registers in the public administration, the potential of eGovernment and the reduction of administrative burden on citizens.

The reform consists in legal act(s) concerning electronic registers.

Reform 7 (C10.R7): Governance framework for state-owned enterprises

The objective of this reform is to improve the governance of state-owned enterprises.

The reform consists in the publication by the Public Enterprises and Control Agency of information on the composition of the management boards of large state-owned enterprises.

Reform 8 (C10.R8): Measures concerning the anti-money laundering framework

The objective of this reform is to introduce new mesures as part of the anti-money laundering framework.

The reform consists in adopting or revising supervisory strategies and procedures, adopting an action plan to mitigate money laundering and terrorist financing risks, and updating the national risk assessment of money laundering and terrorist financing.

Reform 9 (C10.R9): Improving the quality of the legislative process

This reform aims to improve the quality and predictability of the legislative process within the National Assembly.

This shall be achieved by provisions in the Rules for the Organisation and the Activity of the National Assembly ensuring that:

·all draft legislation proposed by Members of Parliament is accompanied by reasoning and a preliminary impact assessment;

·a summary view of stakeholders’ opinions and the committee’s summary opinion are included in the parliamentary committee reports on draft laws; and

·the proposals for amendments and supplements to a draft legislative act adopted at the first vote may not refer to legislative acts, different from those, the amendment or supplement of which has been proposed in the initially submitted draft legislative act, except under specific circumstances.

The implementation of the reform shall be completed by 31 December 2021.

Reform 10 (C10.R10): Public procurement

The objective of this reform is to increase transparency and competition in the public procurement process.

The reform consists in the entry into force of legal act(s), increased controls, including ex-ante checks, penalties in case of violations of the rules, the introduction of eForms, trainings and a report analysing options for more centralisation in public procurement procedures.

Reform 11 (C10.R11): Entrepreneurial Bulgaria

The objective of this reform is to support the development of the high-tech sector in the country and support entrepreneurship.

The reform consists in the entry info force of legal act(s) related to a visa for start-up entrepreneurs, personal bankruptcy, a more flexible type of commercial company, distance work.

Reform 12 (C10.R12): Economic analysis council

The objective of this reform is to lay the foundations for a process of gradual and sustainable provision of in-depth academic economic expertise to the Bulgarian government, which is expected to be a starting point for improving strategic and long-term economic decision-making.

The reform shall establish an Economic Analysis Council as an advisory body, which shall be supported by a secretariat. The main output of the Economic Analysis Council shall be an annual report on the state of the Bulgarian economy.

Investment 1 (C10.I1): Upgrading the Unified Information System of Courts

The objective of this investment is to increase the digitalisation in the justice system.

The investment consists in the upgrade of the Unified Information System of Courts.

Investment 2 (C10.I2): Digitalisation of litigation processes in administrative justice

The objective of this investment is to increase the digitalisation of proceedings before the administrative courts.

The investment consists in the upgrade of the Single Case Management Information System.

Investment 3 (C10.I3): Information and communication infrastructure at the Public Prosecutor’s Office

The objective of this investment is to increase the digitalisation and security of the information exchange within the Public Prosecutor’s Office.

The investment consists in the delivery and/or installation of hardware and software related to the information and communication systems.

Investment 4 (C10.I4): Security services

The objective of this investment is to increase the quality of anti-corruption and security policies.

The investment consists in an upgrade of the intelligent national security system, integrated video surveillance systems and the acquisition of police vehicles.

Investment 6 (C10.I6): Supporting a pilot phase for the introduction of Building Information Modelling

The objective of this investment is to support the set up of Building Information Modelling (BIM).

The investment consists in trainings, a website with online courses and materials the integration of a BIM module in the Unified Information System for Spatial Planning, Investment Design and Building Authorisation, as well as the provision of IT equipment for the public administration.

Investment 7 (C10.I7): Unified Information System for Spatial Planning, Investment Design and Building Authorisation

The objective of this investment is to reduce the administrative burden of citizens and businesses in relation to construction.

The investment consists in setting up a platform for the provision of administrative planning services and the authorisation of construction.

Investment 10 (C10.I10): Strategic planning system

The objective of this investment is to structure the information concerning the strategic planning processes of the central government.

The investment consists in the upgrade of the Monitorstat system.

Investment 11 (C10.I11): Information and administrative environment for the recovery and resilience plan

The objective of this investment is to increase the administrative capacity for the delivery of projects in the context of performance-based funding, with a focus on the recovery and resilience plan of Bulgaria.

The investment consists in upgrades to the Unified Management Information System, trainings on public procurement, and video guides.

J.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq. N°	Related Measure (Reform or Investment)	Milestone/Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description and clear definition of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
213	C10.R1: Reform in the justice system	Milestone	Adoption of a Roadmap by the Council of Ministers for the implementation of judgments of the European Court of Human Rights	Roadmap developed and adopted				Q3	2021	Adoption of a Roadmap on the implementation of judgments of the European Court of Human Rights (‘ECHR’) and the planning of concrete measures and deadlines, as well as the institutions responsible for their enforcement.
214	C10.R1: Reform in the justice system	Milestone	Entry into force of the legislative amendments to the Legal Assistance Act	Provisions in the law indicating the entry into force of legislative amendments to the Legal Assistance Act				Q4	2022	The amendments shall be based on an analysis on extending the types of free legal assistance, the reasons for granting legal assistance and the exemptions from court fees for the individuals that have been granted legal assistance. They shall broaden the scope of legal assistance to cover representation: - before courts of arbitration; - before special administrative bodies, including the State Refugees Agency, Commission for Protection against Discrimination, Consumers’ Protection Commission; - for out-of-court dispute resolution and mediation. The amendments shall also widen the circle of persons eligible for legal assistance to include: - disabled persons receiving monthly allowance in accordance with the Law on Integration of Disabled Persons; and - individuals for whom a request for placement under guardianship has been filed. The amendments shall provide for exemptions from court fees for the individuals who have been granted legal assistance.
215	C10.R1: Reform in the justice system	Milestone	Entry into force of legal act(s) on e-justice in administrative cases	Provisions in the legal act(s) indicating the entry into force				Q4	2025	The legal act(s) shall provide for the possibility for: - a judicial act related to administrative case(s) to be drawn up as an electronic document and to be signed with a qualified electronic signature, with the exception of judicial acts that cannot be drafted in written format due to their nature, or where other legal provision(s) provide otherwise; - the parties in administrative legal proceedings to submit administrative documents in an electronic form; - holding virtual hearings in administrative legal proceedings.
217	C10.R2: Anti-corruption	Milestone	Entry into force of the law on the protection of persons reporting breaches or publicly disclosing information on breaches and of the amendments to the legal framework related to whistleblowing	Provisions in the law indicating entry into force of the law on the protection of persons reporting breaches or publicly disclosing information on breaches and of the amendments to the legal framework related to whistleblowing				Q3	2022	Entry into force of the law on the protection of persons reporting breaches or publicly disclosing information on breaches, which shall transpose the following requirements of Directive (EU) 2019/1937, related to the creation of confidential internal and external channels for reporting; the establishment of verification mechanisms of the submitted signals; providing protection and support measures to whistle-blowers; ensuring provision of feedback and record-keeping on the results of the performed inspections based on signals. In addition, amendments shall be made to: - the Law on the Self-government and Local Administration to introduce a requirement that the results of the activity of the ethics committees dealing with signals on unethical behaviour, conflicts of interests and other signals on corrupt behaviour of municipal councillors are made public; - the provisions in the Criminal Code governing the criminal offenses of insult and defamation to revise the applicable sanctions.
218	C10.R2: Anti-corruption	Milestone	Entry into force of legal act(s) reforming the Anti-corruption and the Illegal Assets Forfeiture Commission	Provision in the legal act(s) indicating the entry into force				Q3	2022	The legal act(s) shall reform the existing Anti-corruption and Illegal Assets Forfeiture Commission by providing for the set-up of a politically and financially independent Anti-corruption body. The legal act(s) shall provide that the Anti-corruption body: - shall have its management appointed under a transparent process ensuring political independence; - shall have the authority to investigate and gather evidence, subject to legal safeguards for the rights and freedoms of individuals and businesses; - shall refer to the Illegal Asset Forfeiture Body cases of significant discrepancies in assets or conflict of interest; - shall support the development of integrity checks; - shall cooperate with the European Public Prosecutor's Office. The law on the Anti-corruption body shall be assessed by the Group of States against Corruption of the Council of Europe (GRECO).
219	C10.R2: Anti-corruption	Milestone	Improving the role of the Inspectorate within the Supreme Judicial Council in preventing and counteracting corruption in the judiciary	Distributed revised ethical guidelines for the conduct of magistrates and a summary of good and bad practices on compliance with ethical rules; anti-corruption trainings organised; introduced templates and procedures for regular reporting and publication of outcomes on the completion of cases				Q4	2022	The Inspectorate to the Supreme Judicial Council shall: -revise the ethical guidelines for the conduct of magistrates, in cooperation with the Supreme Judicial Council, and shall summarise good and bad practices with regards to compliance with ethical rules, in line with the relevant European and International standards; -organise and deliver anti-corruption trainings as well as trainings on integrity and conflict of interest; -Introduce a template for reporting on the completion of cases within the legally specified time limits; and - introduce a procedure for regular reporting and publication of the outcomes on the completion of the cases. The proposed measures shall not lead to an increase in the disciplinary powers of the Inspectorate and shall be consulted with the Venice Commission of the Council of Europe prior to their implementation.
220	C10.R2: Anti-corruption	Milestone	Anti-Corruption body set up and operational	Fully operational Anti-corruption body				Q2	2025	Implementation of the adopted legislation to make the Anti-corruption body fully operational. The implementation shall cover all necessary elements, meaning the appointment of the management and selection, allocation and actual deployment of the appropriate human, financial and technical resources.
222	C10.R2: Anti-corruption	Milestone	Entry into force of legal act(s) concerning the criminal proceedings and the accountability and criminal liability of the Prosecutor General	Provisions in the legal act(s) indicating the entry into force				Q2	2025	1. The legal act(s) concerning criminal proceedings shall include: 1.1. The judicial review over the decision of the prosecutor not to open an investigation and determination of the scope and conditions under which such judicial control shall be carried out. Excessive burdening of judges and prosecutors shall be avoided by limiting the scope of the judicial review; 1.2. The possibility for the separation of the materials for a defendant in a separate case in the trial phase; 1.3. The right of the victim to request the acceleration of the investigation if more than one year has elapsed since the initiation of the investigation and there is no person who is accused; 1.4. Grounds for resumption of the investigation by the Prosecutor General. 2. The legal act(s) concerning the accountability of the Prosecutor General shall include: 2.1. A timeframe in the procedure for hearing the Prosecutor General in connection with the report on law enforcement and on the activities of the Prosecutor’s Office; 2.2. The obligation for annual reporting on the activities of the Prosecutor's Office in combating corruption crimes, which shall include information and analysis on initiated and completed cases for corruption crimes and for corruption crimes of high public interest, information on the stage of the process at which the cases are located, the number of convictions and acquittals, and other grounds for closing the proceedings . The legal act(s) shall indicate that the annual report shall also include analyses related to the deadlines for carrying out investigations, the quality of the indictments and the reasons for the specific outcome of the proceedings; 2.3. Granting the right to request judicial review of prosecutorial acts for the termination or suspension of investigations, for a list of criminal offences committed by persons under Article 6(1) of the Anti-corruption law, to: (i) the state body who submitted the signal to report the crime under investigation, as well as (ii) the Anti-Corruption Commission, the Unlawfully Acquired Assets Forfeiture Commission, the Agency for State Financial Inspection and the Court of Auditors, even if the investigation did not originate from their signal. 3. The legal act(s) concerning the criminal liability mechanism for the Prosecutor General and their deputies, shall include: 3.1. Suspension of the Prosecutor General and their deputies in the event of criminal proceedings against them by a majority of 13 out of 25 members of the Supreme Judicial Council (‘SJC’) plenum; 3.2. Independent selection and appointment of a judge, having the rank of a Supreme Court of Cassation judge and experience in criminal justice, appointed at least to a position as a judge in the district court. If there is a legitimate reason to initiate an investigation against the Prosecutor General or their deputies, the Supreme Court of Cassation shall initiate the selection procedure, which shall be done using an electronic random allocation system. The SJC shall only have the obligation to appoint the judge as a prosecutor, without being able to change the result of the random allocation. The legal act(s) shall provide for the assignment of periodic audits of the electronic system; 3.3. Guarantees for career stability and independence by introducing the possibility of appointing the judge appointed as a prosecutor to investigate the Prosecutor General or their deputy as a judge at the previously held position after the end of their term; 3.4. Limiting the oversight of the Prosecutor’s Office over the prosecutorial acts of investigation of the Prosecutor General or their deputies by appointing a judge of the Supreme Court of Cassation as a prosecutor exercising control over the actions of the prosecutor who investigates the Prosecutor General or their deputies; 3.5. In order to ensure the independent conduct of investigative actions and to avoid any potential undue influence by the Prosecutor General, the members of the investigation team shall be employees of the Ministry of Interior or of the Customs Agency. 4. Transmission of the draft legal act(s) under point 3 to the Council of Europe’s Department for the Execution of Judgments of the European Court of Human Rights and to the Venice Commission of the Council of Europe prior to their adoption.
223	C10.R2: Anti-corruption	Milestone	Entry into force of legal act(s) on lobbying activities	Provision in the legal act(s) indicating the entry into force				Q4	2025	Legal act(s) on lobbying activities in the Republic of Bulgaria shall enter into force.
226a	C10.R2: Anti-corruption	Milestone	Measures to counter corruption and increase integrity	Provisions in the legal act(s) indicating the entry into force; Adopted Code of Ethical Conduct; Analysis of legislation on conflicts of interest				Q2	2026	Measures to counter corruption and increase integrity shall include: 1. In relation to state-owned enterprises: 1.1. Entry into force of legal act(s) to introduce the obligation of putting in place corruption risk management systems in state-owned enterprises. The corruption risk management systems shall cover the selection of senior officials, measures to prevent conflict of interest, methodology to assess and control corruption risks, ethics and integrity trainings of officials, and introducing the role of an integrity officer; 1.2. Adoption of a Code of Ethical Conduct. 2. With regard to civil servants holding positions of high corruption risk in the central executive branch: 2.1. Identification of positions of high corruption risk for which integrity checks should be carried out; 2.2. Entry into force of legal act(s) stating the obligation to carry out integrity tests for civil servants at least in the following circumstances: ·upon appointment; ·on promotion to a higher management position; ·based on the results of an inspection carried out by the inspectorates. 2.3. Preparation of an analysis of the definition of conflicts of interest under national legislation and recommendation(s) for possible improvement(s).
227	C10.R3: Legal acts regarding the mediation framework	Milestone	Entry into force of legal acts regarding the mediation framework	Provisions indicating the entry into force of the legal acts				Q4	2022	The legal acts shall provide that the court, in certain civil and commercial cases, obliges the parties to take part in an information meeting on the mediation procedure. The legal acts shall also provide for circumstances under which the court does not oblige the parties to participate in such an information meeting. The information meeting shall be carried out in the mediation centres at the courts and their territorial divisions. The legal acts shall regulate the organisation and the operation of mediation centres and the status of their staff, as well as the procedure for the selection of mediators.
228	C10.R4: Measures concerning the insolvency framework	Milestone	Entry into force of legal acts with regards to the insolvency and restructuring procedures	Provisions in the legal acts, indicating their entry into force				Q3	2022	Entry into force of legal acts, which shall provide for: - early warning tools; - facilitating the opening and conducting of insolvency and restructuring procedures; - duties of the directors in case of likelihood of insolvency; - a possibility for electronic exchange of information and documents in the insolvency, restructuring and discharge of debt procedures; - stricter regulation of the profession of insolvency practitioners to ensure they have the necessary expertise and that the conditions for eligibility, as well as the process for the appointment, removal and resignation of practitioners are clear, transparent and fair.
229	C10.R4: Measures concerning the insolvency framework	Milestone	Measures on the insolvency framework	1. Trainings organised; 2. Electronic tool(s) upgraded; 3. Entry into force of legal act(s) and adoption of guidelines; 4. Publication of statistical data				Q2	2025	The measures shall cover the following elements: 1. Organisation of trainings on the insolvency framework. 2. Upgrade of electronic tool(s) to ensure electronic means of communication can be used by parties in insolvency and restructuring proceedings. 3. Entry into force of legal act(s) and adoption of guidelines concerning restructuring, insolvency or discharge of debt. 4. Statistical data published concerning restructuring, insolvency and discharge of debt.
230	C10.R5: Digital reform of the Bulgarian construction sector	Milestone	Strategy and roadmap for the introduction of Building Information Modelling (BIM)	Strategy and roadmap approved				Q2	2025	The Council of Ministers shall approve a strategy and a roadmap for the introduction of building information modelling (BIM) level 2.
231	C10.R6: Registry reform to unlock the potential of eGovernment	Milestone	Entry into force of amendments to the Electronic Governance Law	Provisions in the Electronic Governance Law indicating the entry into force of the amendments				Q3	2022	The amendments to the Electronic Governance Law shall introduce: ·rules for the establishment of registers of administrative authorities and their requirements; ·definitions of ‘register’, ‘central data administrator’; ·a definition of the Protected Shared e-Government Information Space.
232	C10.R6: Registry reform to unlock the potential of eGovernment	Milestone	Entry into force of amendments to the Law on Cadastre and Property Register	Provisions in the Law on Cadastre and Property Register indicating the entry into force of the amendments				Q3	2022	The amendments to the Law on Cadastre and Property Register shall establish the requirements for the content of property accounts in the property register and the process for their creation based on the existing personal accounts, as well as specify the responsibilities of the registry judges and of the Registry Agency in the process of setting up the property accounts in the register.
233	C10.R6: Registry reform to unlock the potential of eGovernment	Milestone	Entry into force of legal act(s) on electronic governance	Provisions indicating the entry into force of legal act(s)				Q2	2025	The legal act(s) shall introduce an obligation: ·for administrative authorities to maintain databases and registers entrusted to them by law in an electronic format. ·to provide free of charge data available in an electronic format in the Unified System for Civil Registration and Administrative Service of the Population (ESGRAON) relating to birth, marriage and death, to other administrative authorities providing electronic administrative services.
234	C10.R7: Governance framework for state-owned enterprises	Milestone	Adoption of a state ownership policy	Adopted document by the Council of Ministers establishing a state ownership policy				Q3	2022	The state ownership policy shall be developed by the Public Enterprises and Control Agency and adopted by the Council of Ministers. It shall contain the justification and the objectives for the participation of the state in state-owned enterprises (SOEs), as well as the role of the state in the management of SOEs and in the implementation of the policy.
235	C10.R7: Governance framework for state-owned enterprises	Milestone	Adoption of the annual Summary Reporting on the Performance of State-owned Enterprises	Adoption of the 2020 and 2021 annual summary reports on the activities of state-owned enterprises by the Council of Ministers				Q4	2022	Annual summary reports on the activities of state-owned enterprises shall be adopted by the Council of Ministers. The summary reports shall review the results of the activity of state-owned enterprises, including statutory ones, as well as analyse the performance of state-owned enterprises by sector and the individual performance of all state-owned enterprises categorised as "large" in accordance with the Law on Public Enterprises. The summary reports shall also assess state-owned enterprises’ compliance with applicable corporate governance and disclosure standards.
237	C10.R7: Governance framework for state-owned enterprises	Milestone	Compliance of the composition of the management boards of large state-owned enterprises	Information on management boards published by the Public Enterprises and Control Agency				Q2	2025	The management board positions of all large SOEs, as listed in the annual summary report on state-owned public enterprises by the Public Enterprises and Control Agency, shall: I)have been filled following a competitive procedure; or II)have a competitive procedure open; or III)have been filled with a temporary appointment not exceeding 6 months at the time of publishing of the below information. For closed competitive procedures, the Public Enterprises and Control Agency shall publish information on the composition of the management boards of large state-owned enterprises that shall cover the date of the announcement of the procedure and a list of nominated candidates, supported by links or references to the documentary evidence. For open competitive procedures, the published information shall specify the date of the announcement of the procedure, supported by links or reference to the documentary evidence. For temporary appointments, the published information shall specify the date of appointment, supported by links or reference to the documentary evidence on the date of appointment.
238	C10.R8: Measures concerning the anti-money laundering framework	Milestone	Adoption of the action plan to mitigate the money laundering and terrorist financing risks identified in the national risk assessment	Action plan adopted by the Council of Ministers to follow up the national risk assessment				Q3	2021	The action plan shall be adopted by the Council of Ministers and shall aim to enhance the capacity of the competent Bulgarian institutions to effectively mitigate the risks of money laundering and terrorist financing. The action plan shall contain an explanation of the actions undertaken in the period 2019-2021 for mitigation of risks identified in the 2019 National Risk Assessment Report, including legislative, institutional, regulatory, supervisory and operational actions. The action plan shall further outline additional actions to address remaining threats and vulnerabilities, which are still on-going, as well as the expected results of their implementation, priority, deadline for execution, stage and responsible authority. The action plan shall be prepared in accordance with the recommendations received under SRSP project 19BG17 “Enhancing capabilities of Bulgarian authorities to effectively mitigate money laundering and terrorism financing risks”.
239	C10.R8: Measures concerning the anti-money laundering framework	Milestone	Adoption of an update to the national risk assessment of money laundering and terrorist financing	Update to the national risk assessment adopted				Q4	2022	Adoption of an update of the national risk assessment of money laundering and terrorist financing under Article 95(1) of the Law on Measures against Money Laundering, including on the risks linked to citizenship investment schemes, and adoption of sectorial risk assessments of the non-profit organisations’ sector and of virtual assets, in accordance with the guidance received under the SRSP project 19BG17 “Enhancing capabilities of Bulgarian authorities to effectively mitigate money laundering and terrorism financing risks”. The update to the national risk assessment, and the sectorial risk assessments of the non-profit organisations’ sector and of virtual assets shall be carried out by the permanent interdepartmental working group established by an act of the Council of Ministers in compliance with Article 96 of the Law on Measures against Money Laundering.
240	C10.R8: Measures concerning the anti-money laundering framework	Milestone	Capacity and capabilities of supervisors	1. Adoption or revision of supervisory strategic documents; 2. Adoption or revision of amendments to the supervisory procedures or manuals; 3. Adoption of guidance on the approach to politically exposed persons; 4. Provisions in the law indicating the entry into force of the amendments				Q2	2025	Тhe Financial Intelligence Directorate of the State Agency for National Security, the Bulgarian National Bank, the Financial Supervision Commission and the National Revenue Agency, in their capacity as supervisory authorities under the Law on the Measures against Money Laundering, shall in respect of the obliged entities under their supervision: - adopt or revise supervisory strategic documents to set targets for supervision of the obliged entities, to allocate resources for the supervision of the obliged entities in accordance with their risk profile and to set up a performance reporting procedure; - adopt or revise their supervisory procedures or manuals to ensure a consistent approach to monitoring, including rules on record keeping of the files and documents examined during on-site inspections and follow-up actions to ensure that obliged entities comply with their anti-money laundering obligations. The Financial Intelligence Directorate of the State Agency for National Security shall adopt guidance on how to deal with customers who are politically exposed persons. This guidance shall be applicable to all obliged entities under the supervision of the Financial Intelligence Directorate of the State Agency for National Security, the Financial Supervision Commission, the Bulgarian National Bank and the National Revenue Agency. The Bulgarian National Bank and the National Revenue Agency shall adopt additional guidance on how to deal with customers who are politically exposed, applicable to the obliged entities under their respective supervision. In addition, legislative amendments shall be adopted to provide for verification procedures for prevention of money laundering of persons providing professional company services, for example accountants and tax advisors.
241	C10.R9: Improving the quality of the legislative process	Milestone	Entry into force of the Rules for the Organisation and the Activity of the National Assembly	Provisions in the Rules for the Organisation and the Activity of the National Assembly indicating their entry into force				Q4	2021	The Rules for the Organisation and the Activity of the National Assembly shall ensure that: ·all draft legislation proposed by Members of Parliament is accompanied by reasoning and a preliminary impact assessment; ·submitted to the National Assembly draft legislative acts are entered into the public register on draft laws and all written opinions of citizens or legal entities are published on the website of the responsible parliamentary committee; ·the parliamentary committee report on the draft legislative act includes a summary of the views of the stakeholders’ opinions and a summary opinion of the committee; ·proposals for amendments submitted between the first and the second vote are made public via a public register; and ·the proposals for amendments and supplements to a draft legislative act adopted at the first vote may not refer to legislative acts, different from those, the amendment or supplement of which has been proposed in the initially submitted draft legislative act, except for editorial or legal- technical amendments.
242	C10.R10: Public Procurement	Milestone	Entry into force of legislative amendments to the Law on Public Procurement to reduce the number of contracts without a call for tender and single-call bids	Provisions in the Law on Public Procurement providing for the entry into force of the amendments				Q4	2022	The legislative changes aim to reduce the use of negotiated procurement (without prior publication) and single-tender contracts. They shall ensure: -regular (at least once a year) collection of information and reporting on the use of such procedures to assess progress, a justification for the percentage reached each time and an explanation on how progress has been made towards the objective; -reinforcement of the ex-ante and ex-post controls and controls by the relevant agencies; -increase in the scope of administrative responsibility and effective and dissuasive sanctions for breaches of the rules for the use of such procedures; -regular reporting on the use of effective sanctions in financial correction procedures for non-compliance with public procurement procedures by authorities responsible for the control and audit of the EU funds. Moreover, the legislative amendments shall include: -prohibition of the “reassignment” of tasks from “in-house” contracts (as defined in Article 12 of the Public Procurement Directive) to a subcontractor; -a legal requirement for a timely publication of signed “internal” procurement contracts and annexes thereto; -a legal requirement to publish information on payment under such contracts, in case these contracts are valued at BGN 50 000 or more; -effective and dissuasive penalties in case of non-compliance with the elements above.
244	C10.R10: Public Procurement	Milestone	Public Procurement Agency’s methodology	Changes to the methodology of the Public Procurement Agency				Q2	2025	The changes to the Public Procurement Agency’s methodology shall: ·increase the weighting of the risk factor for procurement procedures supported by EU funds; ·introduce new risk factors for selecting projects for checks; ·introduce template(s) for reporting and a procedure for the publication of the outcome of the checks.
245	C10.R10: Public Procurement	Milestone	Standard eForms for public procurement	Standard eForms are introduced				Q2	2025	Standard eForms for contractors shall be introduced.
245a	C10.R10: Public Procurement	Milestone	Measures on public procurement	Entry into force of legal act(s); publication of report(s) and guideline(s); trainings launched				Q2	2026	The measures shall consist of: - Entry into force of legal act(s) introducing the obligation to publish annual indicative public procurement plans for contracting authorities on the Centralized Automated Information System “Electronic Public Procurement” (CAIS EPP). - Publication of a report by an independent organisation analysing options for centralisation in public procurement procedures, including options for pilot projects, as well as recommendations for action. - Publication of guideline(s) on the application of public procurement procedures. - Launch of training(s) on public procurement for employees from contracting authorities - Publication of list of letters to contracting authorities four times per year.
248	C10.R10: Public Procurement	Milestone	Reduction of the proportion of contracts awarded on the basis of a single bidder and of the share of negotiated procedures without prior publication	Decrease in percentage based on Single Market Scoreboard				Q2	2026	The share of procurement procedures with a single bidder shall be measured as a percentage of all awarded public contracts closed in 2025, that are published in the Official Journal of the EU. The share of procurement procedures with a single-bidder shall be reduced to 34%, as measured in accordance with the methodology of the Single Market Scoreboard. The share of negotiated procurement procedures without prior publication with Union support shall be measured as a percentage of all tendering procedures for public contracts with Union support closed in 2025, that are published in the Official Journal of the EU. The share of negotiated procurement procedures without prior publication with Union support shall be reduced to 6%, as measured in accordance with the methodology of the Single Market Scoreboard.
251	C10.R11: Entrepreneurial Bulgaria	Milestone	Introduction of a procedure and requirements for issuing and revoking a visa for start-up entrepreneurs	Provisions in the law indicating the entry into force of the Ordinance on the procedure and requirements for issuing and revoking a start-up visa adopted by the Council of Ministers				Q3	2022	The Council of Ministers shall adopt an ordinance to establish the procedure and requirements for issuing and revoking the start-up visa, which has been introduced by Article 24p of the Law on Foreign Citizens. The ordinance shall regulate the establishment of an expert council as an advisory body to the Minister of Economy to provide opinion on submitted projects, applying for issuance of a certificate for high-tech and/ or innovative project, called “Start-up visa”, as well as the conditions and procedure for issuance, extension and revocation of the certificate.
252	C10.R11: Entrepreneurial Bulgaria	Milestone	Entry into force of the Personal Bankruptcy Law	Provisions in the Personal Bankruptcy Law indicating its entry into force				Q3	2022	The Personal Bankruptcy Law shall introduce insolvency procedures of natural persons, which shall include a repayment plan, realisation of assets, and insolvency procedures in the absence of income and property of natural persons.
253	C10.R11: Entrepreneurial Bulgaria	Milestone	Entry into force of a new chapter in the Commerce Law for the introduction of a new legal form of a commercial company	Provisions in the Commerce Law indicating the entry into force of the amendments				Q4	2022	The amendments shall introduce a chapter in the Commerce Law for a new legal form of a commercial company, which shall provide for more flexible instruments for business development, including acquisition contracts, option pools, convertible loans, tag-along and drag along rights, and variable capital.
255	C10.R11: Entrepreneurial Bulgaria	Milestone	Entry into force of legal act(s) on distance working	Provisions in the legal act(s) indicating the entry into force				Q2	2025	Legal act(s) shall concern distance working in relation to health and safety of the working conditions, the reporting of work and the monitoring of working time.
256	C10.R12: Economic analysis council	Milestone	Institutionalisation of the Economic Analysis Council	Economic Analysis Council and its Secretariat established and operational				Q3	2022	The Economic Analysis Council shall be established as an advisory body and shall be supported by a secretariat. It is expected to provide the Bulgarian government with in-depth academic economic expertise. Its main output shall be an annual report on the state of the Bulgarian economy identifying the challenges and risks it faces and proposing solutions to them.
258	C10.I1: Upgrading the Unified Information System of Courts	Milestone	Upgrade of the Unified Courts Information System	Upgraded Unified Information System of Courts				Q4	2025	Upgrade of the Unified Courts Information System by the addition of the following modules shall be issued: -а module for the allocation and digitalisation of cases for order for payment proceedings; -а module for the administration of mediation procedures. 3 000 computers with monitors and 2 200 laptops shall be delivered. Data storage hardware shall be installed at two core data centres and at one archive data centre.
260	C10.I2: Digitalisation of litigation processes in administrative justice	Milestone	Information modules and hardware for the digitalisation of litigation processes in administrative justice	Information modules introduced; hardware for remote hearings and for data storage delivered				Q4	2025	Acceptance protocol(s) of the upgrade of the Single Case Management Information System by adding information modules providing for the possibility: (I)to electronically access case materials and submit documents; (II)for electronic service of summons; and (III)to hold remote hearings. Acceptance protocol(s) of the delivery of hardware to the country’s administrative courts for remote court hearings shall be issued. Acceptance protocol(s) of the installation of the data storage hardware in a data centre of the Supreme Judicial Council shall be issued.
263	C10.I3: Information and communication infrastructure at the Public Prosecutor’s Office	Milestone	Information and communication infrastructure at the Public Prosecutor’s Office	Information and communication infrastructure at the Public Prosecutor’s Office upgraded				Q2	2025	Hardware and software shall be delivered and/or installed related to the information and communication systems at the Public Prosecutor’s Office.
265	C10.I4: Security services	Milestone	Security and Surveillance Systems	Security system and video surveillance systems upgraded and police cars acquired				Q2	2026	The Integrated Automated Security System (IASS) and Geographic Information System (GIS) at the Ministry of the Interior shall be upgraded: ·IASS with capabilities for data and videoanalysis ·GIS with analytical and visualisation functionalities. Video surveillance systems shall be upgraded with a vehicle number recognition functionality at 18 road junctions on the Sofia ring road. 300 police vehicles, equipped with video surveillance systems shall be acquired.
267	C10.I4: Security services	Milestone	Acquisition of body cameras					Q2	2025	Acceptance protocol(s) for 1 146 police body cameras.
270	C10.I6: Supporting a pilot phase for the introduction of building information modelling	Milestone	Introducing building information modelling	Accessible IT infrastructure; hardware and software delivered; trainings organised				Q2	2026	A website with online courses and materials for online training for experts from the private sector shall be created. Online courses shall be divided into two types. One type shall be available for consultants and focus on their needs in the BIM process. The second type of trainings shall target the design offices and construction companies and focus on how to use the necessary software and the practical applications. Acceptance and delivery protocol(s) have been issued for IT infrastructure allowing the submission of construction projects in BIM format. Acceptance and delivery protocol(s) have been issued for hardware and software for a total 300 workstations in the public administration. Trainings shall be organised for public administrations.
273	C10.I7: Unified information system for spatial planning, investment design and building permitting	Milestone	Platform for spatial planning, investment design and building permitting	Platform accessible				Q2	2026	A platform for providing administrative services for spatial planning, investment design and building permits shall be accessible.
278	C10.I10: Monitorstat system	Milestone	Upgraded Monitorstat system					Q4	2025	The Monitorstat system shall be upgraded into a tool where strategic documents can be uploaded and their progress monitored. A methodology on strategic documents shall be adopted.
279	C10.I11: Information and administrative environment for the recovery and resilience plan	Milestone	Provision of a repository system for monitoring of the implementation of the RRP	Audit report confirming the repository system functionalities				Q2	2022	A repository system for monitoring the implementation of the Recovery and Resilience Plan (RRP) shall be in place and operational before the first payment request. The system shall include, as a minimum, the following functionalities: (a) collection of data and monitoring of the achievement of milestones and targets; (c) collection, storage and access to the data required by Article 22(2)(d)(i) to (iii) of Regulation (EU) 2021/241.
280	C10.I11: Information and administrative environment for the recovery and resilience plan	Target	Update of video guides to cover in full all business processes of the RRP information system		Number	0	36	Q2	2022	Introduction of a visualisation of workflows in the form of video guides to facilitate the work of users. Given the adaptation of the Unified Management Information System for the EU structural instruments in Bulgaria (UMIS 2020) system for the purpose of implementing the RRP, as well as the uniqueness of the new instrument, the guides shall be tailored to address the RRP specifically: 36 video guides are expected to be updated, which are expected to cover in full all of the possible business processes that users could encounter when implementing the RRP while working in the information system.
281	C10.I11: Information and administrative environment for the recovery and resilience plan	Milestone	Entry into force of the act setting up the Management and Control system for the RRP	Adoption and entry into force of the act (an order of the Minister of Finance) approving the Management and Control System				Q2	2022	The Management and Control System in the context of the RRP shall be approved before the first payment request, and shall include: ·the ministries/bodies responsible for carrying out controls on the implementation of the plan (investments and reforms); ·the specification of measures to combat fraud, corruption, double funding and conflict of interest and arrangements for reporting and correcting serious irregularities.
282	C10.I11: Information and administrative environment for the recovery and resilience plan	Milestone	An approved workload analysis for the National Funds Directorate and the Central Coordination Unit, entry into force of the amendments to the structural regulations for the Executive Agency ‘Audit of EU Funds’ and the implementation of respective recommendations	An approved workload analysis for the National Funds Directorate and the Central Coordination Unit, provision in the amendments to the structural regulations for the Executive Agency ‘Audit of EU Funds’ indicating the entry into force of the amendments, and the respective recommendations have been implemented				Q2	2022	A workload analysis shall be carried out for the National Funds Directorate, for the Central Coordination Unit and for the Executive Agency ‘Audit of EU Funds’, taking into account the burden arising from the implementation of the Recovery and Resilience Plan and the amended functions and/or responsibilities of the two bodies. The analysis shall provide adequate information on administrative capacity needs and develop a set of recommendations to address insufficient capacity where necessary taking the current available resources and tasks as a baseline. Based on the analysis and recommendations, the decisions on the allocation of the necessary resources and on the entry into force of the amendments to regulations for both bodies shall take place before the first payment request.
283	C10.I11: Information and administrative environment for the recovery and resilience plan	Target	Members of staff trained on procurement		Number	0	800	Q4	2022	The trainings shall be completed with a certificate and include staff from municipalities, budget operators, and state owned or controlled companies, in particular those with responsibilities related to the implementation of the RRP.
284	C10.I11: Information and administrative environment for the recovery and resilience plan	Milestone	Update or release of video guides					Q2	2025	Video guides on the Unified Management Information System shall be released and/or updated.
285	C10.I11: Information and administrative environment for the recovery and resilience plan	Milestone	Trainings on the activities under the RRF	Trainings organised		0		Q4	2025	Trainings organised on the activities under the RRF.

K. COMPONENT 11: Social inclusion

This component of the Bulgarian recovery and resilience plan aims to foster social inclusion by

-improving social protection and service provision. This shall encompass a reform of the minimum income scheme, and the development of new tools for the Social Assistance Agency and for the Employment Agency;

-reforming long-term care provision in Bulgaria, in accordance with the Common European Guidelines on the transition from institutional to community-based care as well as with the UN Convention on the Rights of Persons with Disabilities. In addition, persons with permanent disabilities shall be supported through the provision of assisting devices to promote their mobility and independent living;

-promoting the social economy and the cultural and creative sectors. This shall be achieved by the construction of focus centres for the social and solidarity economy providing supporting tools to social enterprises, by establishing grant schemes for cultural and creative sectors and by digitising content of archives.

The component encompasses two reforms and seven investments and contributes to addressing the challenges identified in the CSRs, notably the recommendations to address the shortcomings of the minimum income scheme (country-specific recommendation 2 2020 and 4 2019), as well as to improve access to integrated employment and social services (country-specific recommendation 4 2019).

K.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C11.R1): Reform of the minimum income scheme

The objective of the reform is to revise the criteria and expand the coverage of the minimum income scheme.

The measure consists of an analysis and the entry into force of legal act(s) concerning the minimum income scheme.

Reform 2 (C11.R2): Reform of social services

The objective of the reform is to ensure the quality of social services in Bulgaria.

The measure consists of entry into force of legal act(s) concerning social services.

Investment 1 (C11.I1): Infrastructure works in long-term care establishments

The objective of the investment is to perform infrastructure works in the building stock of the establishments where social services are provided to persons with disabilities and old people.

The measure consists of construction and renovation works.

Investment 2 (C11.I2): Provision of assisting devices to persons with permanent disabilities

The objective of the investment is to provide conditions for the social inclusion of persons with permanent disabilities.

The measure consists of the provision of vouchers for acquisition of assisting devices.

Investment 3 (C11.I3): Development of the social economy

The objective of this investment is to promote the social economy by providing assistance to the development of social and solidarity economy enterprises and organisations.

The investment shall encompass the construction of focus centres for the social and solidarity economy, which shall support social and solidarity economy enterprises and organisations by providing counselling activities and technical assistance, including through assisting in the digitalisation of the business processes of those enterprises. The location of the focus centres shall ensure that every region, as identified by the level two of the nomenclature of territorial units for statistics classification, shall be served by one focus centre.

The implementation of the investment shall be completed by 31 December 2025.

Investment 4 (C11.I4): Renovation of the Social Assistance Agency

The objective of this investment is to renovate the Social Assistance Agency territorial structures, including providing accessibility for persons with disabilities.

The measure consists of renovation works and delivery of equipment.

Investment 5 (C11.I5): Digital services at the Employment Agency

The objective of this investment is to increase the efficiency and quality of the services provided by the Employment Agency.

The measure consists of the delivery of digital services and equipment.

Investment 6 (C11.I6): Support of the cultural sector

The objective of the investment is to support the cultural sector in Bulgaria.

The measure consists of the entry into force of legal act(s) and provision of grant support.

Investment 7 (C11.I7): Digitisation of archives

The objective of the investment is to digitise the content of archives, provide access to them and allow for their preservation.

The measure consists in the publication of a methodology, digitising content and making it available on an e-platform.

Investment 8 (C11.I8): Culture infrastructure

The objective of the investment is to digitise the infrastructure and business processes of the National Palace of Culture and the Festival and Congress Centre - Varna.

The measure consists in the delivery of equipment.

K.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq. N°

Related Measure (Reform or Investment)

Milestone
/ Target

Name

Qualitative indicator for milestones

Quantitative indicator for target

Indicative timeline for completion

Description of each milestone and target

Unit

Baseline

Goal

Quarter

Year

286

C11.R1: Reform of the minimum income scheme

Milestone

Entry into force of the amendments to the secondary legislation of the Social Assistance Act

Provision in the secondary legislation indicating the entry into force of the amendments to the Social Assistance Act

2022

To increase the adequacy and coverage of the minimum income scheme, the amendments shall include a gradual increase of the percentages used for the computation of the income threshold of the minimum income scheme, the Differentiated Minimum Income (DMI), as follows:

-for 2022: by an average coefficient of at least 1,10;

-for 2023: by a coefficient of at least 1 365;

-for 2024: by a coefficient of at least 1 224

287

C11.R1: Reform of the minimum income scheme

Milestone

Finalisation of a report on the minimum income scheme

Final report issued by the Ministry of Labour and Social Policies and published on the website of the Ministry.

2022

The analysis shall make evidence-based recommendations to expand effective coverage, enhance the targeting of the minimum income scheme, incentivise the take-up of gainful employment, improve linked activation measures through the PES and significantly reduce the administrative burden for the individuals and for the administration in the application procedures. The analysis shall

-review the eligibility and working criteria of the minimum income scheme, including ownership criteria, PES registration and community work requirements, together with the implementation of activation measures;

-review employment incentives, including the tapering out of benefits for the recipients of the minimum income support who uptake gainful employment;

-analyse the administrative burden of the process and take this into account in its recommendations with a view to achieving a significant reduction;

For the elements above the analysis shall provide references to the challenges identified in the context of the European Semester and to analysis from international organizations with relevant expertise.

288

C11.R1: Reform of the minimum income scheme

Milestone

Entry into force of legal act(s) related to the minimum income scheme

Provisions in the legal act(s) indicating the entry into force of the amendments

2025

The amendments to the legal act(s) shall provide for:

-revisions to the eligibility and work requirement criteria related to the minimum income scheme, including reducing the required registration time at the employment services from 6 to 3 months, and introducing incentives to uptake employment ;

-linking the Differentiated Minimum Income (DMI) to the annually updated at-risk-of-poverty threshold;

-the at-risk-of-poverty threshold shall be harmonized with the EUROSTAT methodology;

-ensurance that for each target group of the scheme, the DMI is computed by multiplying a group-specific coefficient by an anchoring element, common to all target groups:

ofor each target group, the group-specific coefficient shall not be lower than its 2021 value;

othe anchoring element shall be equal to at least 30% of the most recent AROP threshold;

-introduction of the legal definition of ‘economically inactive’;

-provisions specifying the activities for the activation of the ‘economically inactive’.

290

C11.R2: Reform of social services

Milestone

Entry into force of the Ordinance on the Quality of Social Services

Provision in the ordinance indicating entry into force of the Ordinance on the Quality of Social Services

2022

The Ordinance on the Quality of Social Services shall outline the minimum quality standards for the provision of social services.

The minimum quality standards shall cover:

-the architectural requirements of new facilities providing residential care, including on the maximum number of users per facility providing social services and on the maximum number of users per bedroom. Users per bedroom shall be no more than two;

-the social services provided by the day-care facilities accompanying the facilities providing residential care, including counselling activities and therapy provided;

-the requirements for the modernisation of existing facilities providing residential care, including residential care homes for older people.

In addition, the ordinance shall cover:

-the procedures for the monitoring and evaluating the provision of social services by responsible entities;

-the standards for the qualifications and professional development of the personnel providing social services.

291

C11.R2: Reform of social services

Milestone

Entry into force of legal act(s) on the National Map of Social Services

Provision in the legal act(s) indicating the entry into force

2025

The National Map of Social Services shall cover:

-a list of social services at the municipal and regional level funded fully or partly from the state budget;

-the maximum number of users for each social service for which funding is provided fully or partly from the state budget.

293

C11.I1: Infrastructure works in long-term care establishments

Target

Long-term care establishments and homes for old people renovated and/or constructed

Number

270

2026

The call for proopsals documentation shall require that each of the residential care estblishments is located in proximity to an establishment providing accompanying specialized social services for people with disabilities.

Renovation works for 73 existing homesfor old people shall be carried out.

Renovation and/or construction works for 155 new establishments providing residential care and 42 new establishments for provision of accompanying specialized and advisory social services to persons with disabilities shall be carried out.

297

C11.I2: Provision of assisting devices to persons with permanent disabilities

Milestone

Methodology for the selection of persons with permanent disabilities

Adoption by the Ministry of Labour and Social Policy

2022

A methodology determining the selection procedure to assign assisting devices to persons with permanent disabilities shall be adopted.

The methodology shall be built considering health and specific needs as well as socio-demographic characteristics of the persons with permanent disabilities.

298

C11.I2: Provision of assisting devices to persons with permanent disabilities

Milestone

Selection of persons with permanent disabilities to receive assisting devices

Approval of selection of recipients for assisting devices

2026

Selection of 2 148 persons with permanent disabilities to receive assisting devices shall be approved.

The beneficiaries of the devices shall be selected in accordance with the methodology for the selection of persons with permanent disabilities (milestone 297).

299

C11.I3: Development of the social economy

Target

Building and equipping 6 regional focus centres

Number

2022

Construction and/or renovation works shall be finalised for 6 regional focus centres. In addition, equipment, including furniture, shall be delivered and installed.

303

C11.I4: Renovation of the Social Assistance Agency

Milestone

Signature of contracts for the Social Assistance Agency territorial structures

Signed contracts

2025

In relation to the Social Assistance Agency territorial structures, the contracts shall cover renovation works or delivery of air conditioning appliances or delivery of stair-climbing devices.

304

C11.I4: Renovation of the Social Assistance Agency

Target

Territorial structures of the Social Assistance Agency renovated

Number

419

2025

Renovation works of 91 Social Assistance Agency territorial structures shall be carried out.

Air conditioning appliances in 181 Social Assistance Agency territorial structures shall be delivered.

Stair-climbing devices in 147 Social Assistance Agency territorial structures shall be delivered.

306

C11.I5: Digital services at the Employment Agency

Milestone

Digital services for the Employment Agency

Digital services accessible

2026

The Employment Agency shall have access to:

-the National Database information system;

-the digital laboratory platform;

-the application, which lists job trainings and vacancies;

-software for processing survey results;

-the digital services concerning employment subsidies, trainings and registration procedures for job seekers.

The digital laboratory and the application, which lists job trainings and vacancies shall be publicly available.

In addition, 428 tablets and ID card readers shall be delivered.

307

C11.I6: Support of the cultural sector

Milestone

Entry into force of legal act(s) on the National Culture Fund

Provision in the legal act(s) indicating the entry into force

2025

The legal act(s) shall provide for:

-a revision of the organisation and management structure of the National Culture Fund;

-monitoring of the activities of the National Culture Fund.

308

C11.I6: Support of the cultural sector

Target

Support for the cultural sector

Number

460

2025

Grant support via grant schemes operated by the National Cultural Fund shall be provided as follows:

- grant scheme “Support for European Cultural Cooperation” requiring at least 10% co-financing from beneficiaries.

- grant scheme “Support for Development and Audience Access” requiring at least 10% co-financing from the beneficiaries.

- grant scheme “New Generation of Local Culture Policies” with two calls for proposals. The first call shall target municipalities which are district centres and the grant amount shall be between BGN 170 000 and BGN 2 000 000, with 50% co-financing from the beneficiaries. The second call shall target municipalities which are not district centres with 25% co-financing from the beneficiaries.

312

C11.I7: Digitisation of archives

Milestone

Methodology and standards for the digitisation of content

Publication of the methodology and standards for the digitisation of content

2025

The methodology shall cover the criteria for the designation of institutions as national coordinators and the criteria for the selection of content as well as standards applicable to the content that shall be digitised. The standards shall apply to the digitisation of the content of museums, libraries and archives.

314

C11.I7: Digitisation of archives

Milesone

Institutions with digitised items available on a new digital platform equipment for digitising content

Digitised contenet and equipment delivered

2026

Digitised content of the archives of the Bulgarian National Film, the Bulgarian National Television, and the Bulgarian National Radio, the Bulgarian News Agency, and the National Archive Fund, shall be available on a new digital platform on cultural heritage.

Additionally, equipment for digitising content in at least 28 museums and 7 libraries shall be delivered.

314а

C11.I8: Culture infrastructure

Milestone

Digital equipment

Digital equipment delivered

2026

In relation to the National Palace of Culture and the Festival and Congress Centre – Varna, the following shall be delivered:

-66 LED displays and a software for their control;

-Platform for digitalisation of business processes;

-Network equipment and cyber-security platform.

L. COMPONENT 12: Healthcare

This component of the Bulgarian recovery and resilience plan aims to improve the provision and availability of health services across Bulgaria. It encompasses six reforms and seven investments.

The component includes investments in the health sector across the territory, including modernisation of part of the hospitals and medical facilities providing either paediatric, oncological or psychiatric care.

The component also includes the construction of outpatient care units, the establishment of an air ambulance system, as well as measures addressing shortages of healthcare professionals, including their unbalanced geographical distribution.

The enhancement of e-health and digital innovation in healthcare shall be supported by the completion of the implementation of the National Health Information System and by the development of a platform for medical diagnostics.

In addition, the component introduces strategies and action plans underpinning the investments. National strategies and plans also cover additional relevant concerns, including health education in schools and healthy aging.

The component contributes to addressing the challenges identified in the country-specific recommendations to mobilise adequate financial resources to strengthen the resilience, accessibility and capacity of the health system, and ensure a balanced geographical distribution of health workers (country-specific recommendation 1 2020), as well as to improve access to health services and addressing shortages of health professionals (country-specific recommendation 4 2019).

L.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C12.R1): Upgrading the strategic framework of the healthcare sector

The objective of the reform is to increase the resilience of the health system to shocks, as well as to increase the population’s access to quality and timely healthcare by providing the strategic underpinning of future investments and reforms and identifying relevant actions.

The reform shall include the adoption of a number of strategies and plans, namely:

-the National Health Strategy 2030, which shall aim to address the existing structural challenges of the health sector, including the shortages of healthcare professionals across the territory, by setting out the strategic goals and priorities over a 10-year period;

-the National Strategy for Mental Health of the Citizens of the Republic of Bulgaria 2021-2030, which shall provide recommendations to foster the integration of psychiatric services into community-based services and services received at home (deinstitutionalisation), as well as addressing the main problems faced by the psychiatric care system in the country, including outdated equipment and facilities as well as staff shortages;

-the National Strategy for Child and Adolescent Health and Paediatric Care in the Republic of Bulgaria 2030, which shall provide targeted recommendations to strengthen health care services for children and adolescents, starting from pregnancy;

-the National Strategy for Healthy Geriatric Care and Ageing in the Republic of Bulgaria 2021-2030. The strategy shall promote a comprehensive set of recommendations targeting the health and well-being of older people, taking into account regional demographic trends and the availability of services, including access to health and social services.

The adoption of these strategies shall be complemented by the adoption of accompanying action plans for their implementation. The action plans shall build on the recommendations of the strategies to outline measures, including their timeline.

The reform also includes the adoption of:

-the National Map on the Long-Term Needs of the Healthcare Sector in Bulgaria, which shall provide recommendations on how to promote a balanced distribution of healthcare services in Bulgaria, based on an analysis covering health facilities in each region;

-the National Plan for Combating Cancer in the Republic of Bulgaria 2021-2027, which shall outline measures aiming to reduce cancer incidence and mortality, targeting screening activities for early detection of cancer, as well as cancer treatment therapies;

The implementation of the reform shall be completed by 30 June 2025.

Reform 2 (C12.R2): Development of e-health and of the National Health Information System

The objective of the reform is to contribute to the development of e-Health.

The measure consists in the entry into force of legal act(s) on e-Health and the upgrade of the National Health Information System (NHIS).

Reform 3 (C12.R3): Improving the attractiveness of health professions and promoting a more balanced distribution of health professionals across the territory

The objective of the reform is to contribute to reducing the shortages of health professionals and their uneven distribution across the country.

The measure consists in the entry into force of legal act(s) and other actions.

Reform 6 (C12.R6): Plan for modern health education in schools

The objective of the reform is to contribute to reducing preventable health diseases via the provision of healthcare education in schools.

The reform consists of the development and adoption of a Plan for Health Education in the Bulgarian School 2021-2027. The plan shall specify measures to promote a healthy lifestyle among students in the areas of reproductive health, nutrition and harmful consumption of alcohol and other psychoactive substances.

The implementation of the reform shall be completed by 31 December 2022.

Investment 1 (C12.I1): Modernisation of hospital facilities

The objective of this investment is to modernise the equipment of facilities providing paediatric and oncological care.

The measure consists in the supply of medical equipment as well as construction and/or renovation works.

Investment 2 (C12.I2): Centres for interventional diagnosis and endovascular treatment of cerebrovascular diseases

The objective of the investment is to increase the access of care provided for cerebrovascular diseases.

The measure consists in construction works and supply of equipment for specialised centres in hospitals.

Investment 3 (C12.I3): Modernisation of psychiatric care

The objective of the investment is to modernise the outdated equipment and infrastructures of facilities providing psychiatric care.

The measure consists in renovating and refurbishing psychiatric care facilities and providing them with new medical equipment.

Investment 4 (C12.I4): Establishment of an air ambulance system

The objective of this investment is to set up an air ambulance system.

The measure consists in the purchase of helicopters and construction of operational sites with hangars.

Investment 5 (C12.I5): National digital platform for medical diagnostics

The objective of the investment is to achieve a higher quality of IT infrastructure for medical diagnostic services.

The measure consists in the establishment of a digital platform for medical diagnostics.

Investment 7 (C12.I7): Development of outpatient care

The objective of this investment is to foster preventive and outpatient care in remote areas.

The measure consists in building or renovating outpatient medical units or ambulatory containers.

L.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq. N°	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
315	C12.R1: Upgrading the strategic framework of the healthcare sector	Milestone	National Strategy for the Mental Health of Citizens of the Republic of Bulgaria 2021-2030 and action plan for the implementation of the strategy	Adoption of the strategy and the action plan by the Council of Ministers				Q2	2021	The National Strategy for the Mental Health of Citizens of the Republic of Bulgaria 2021-2030 shall set out the strategic goals and priorities over a ten-year period and provide recommendations covering: -the integration of psychiatric care into community-based and at-home service provision (deinstitutionalisation) for people suffering from mental illness and eating disorders; -shortages of staff working in the field of mental health; -renovation needs of the facilities providing psychiatric care. The action plan shall formulate measures and actions, including their timeline, to implement the recommendations of the strategy.
316	C12.R1: Upgrading the strategic framework of the healthcare sector	Milestone	National Map of the Long-Term Needs of the Healthcare Sector	Adoption by the Council of Ministers				Q3	2022	The National Map of the Long-Term Needs for Healthcare Sector shall include an analysis on the needs of the healthcare system across the territory of Bulgaria. The analysis shall cover: -availability of hospital and outpatient care across the territory; -the need for new health care facilities, including outpatient care facilities; -shortages of medical professionals; -renovation and equipment needs of the healthcare facilities, including outpatient care facilities; -relevant information on Bulgarian municipalities including demographic characteristics of the population; health insurance coverage as well as morbidity and mortality rates. Based on this analysis, the map shall also provide recommendations on how to promote a balanced distribution of health services in Bulgaria.
317	C12.R1: Upgrading the strategic framework of the healthcare sector	Milestone	National Health Strategy 2030	Adoption of the strategy				Q3	2022	The National Health Strategy 2030 shall set out the strategic goals and priorities over a ten-year period and provide recommendations to address the existing structural challenges of the health system. The recommendations shall address: -regional imbalances of healthcare service provision; -the allocation of services between hospital and outpatient care, concerning prevention, rehabilitation activities, as well as long-term care; -the development of performance indicators to evaluate service provision and its management; -the shortages and distribution of health professionals on the basis of the analysis in the National Map (milestone 316). An action plan covering for the period 2023-2026 shall be adopted by the Council of Ministers. It shall formulate measures and actions, including their timeline, to implement the recommendations of the strategy.
318	C12.R1: Upgrading the strategic framework of the healthcare sector	Milestone	National Strategy for Child and Adolescent Health and Paediatric Care in the Republic of Bulgaria 2030	Adoption of the strategy				Q4	2022	The National Strategy for Child and Adolescent Health and Paediatric care in the Republic of Bulgaria 2030 shall set out the strategic goals and priorities over a ten-year period and provide recommendations covering: -the accessibility of diagnosis and treatments targeting children and adolescents, including specialized pediatric medical equipment in health facilities; -awareness raising and prevention initiatives, including for parents and in relation to pregnancy; -regional patronage care and supply of counselling health services. An action plan covering for the period 2023-2025 shall be adopted by the Council of Ministers. It shall formulate measures and actions, including their timeline, to implement the recommendations of the strategy.
319	C12.R1: Upgrading the strategic framework of the healthcare sector	Milestone	National Plan for Combating Cancer in the Republic of Bulgaria 2021-2027	Adoption by the Council of Ministers				Q4	2022	The National Plan for Combating Cancer in the Republic of Bulgaria 2021-2027 shall outline measures to enhance: -early detection of cancer through screening activities; -the availability and accuracy of cancer diagnostics; -access to and effectiveness of treatments; -the well-being of cancer patients and cancer survivors.
321	C12.R2: Development of e-health and of the National Health Information System	Milestone	Entry into force of the amendments to the e-Health regulatory framework	Provision in the law indicating the entry into force of the amendments to the eHealth regulatory framework				Q4	2022	The amendments to the e-Health regulatory framework shall develop further access to e-Health services by introducing the legal basis for: -online prescriptions and dispensation of medicinal products; -telemedicine, including telediagnostics and telemonitoring; -the registration of medical information via electronic health records and their maintenance. The amendments shall also include the organisation of the work processes of the National Health Information System (NHIS).
322	C12.R2: Development of e-health and of the National Health Information System	Milestone	Upgrade of the National Health Information System (NHIS)	Accessible services on the website of the NHIS				Q2	2025	The National Health Information System (NHIS) shall be upgraded by adding new functionalities related to services concerning: -electronic medical records of citizens; -e-prescriptions and e-referrals modules; -a system for the collection of data from hospitals.
323	C12.R3: Improving the attractiveness of health professions and promoting a more balanced distribution of health professionals across the territory	Milestone	Entry into force of legal act(s) concerning funding for health professionals	Provisions in the legal act(s) indicating the entry into force				Q2	2025	The legal act(s) shall: - provide for additional monthly funding for health professionals working in remote or hard-to-reach settlements. -- set the methodology to compute the additional monthly funding that medical facilities distribute to the health professionals working in remote or hard-to-reach areas. The methodology shall be based on factors including remoteness, difficult accessibility of settlements and number of hired medical personnel. Each medical facility shall distribute at least 90% of its additional monthly allocation to personnel costs, according to the qualifications of health professionals. A list of the medical facilities that are eligible for additional funding under this methodology shall be published on the website of the National Health Insurance Fund (NHIF).
324	C12.R3: Improving the attractiveness of health professions and promoting a more balanced distribution of health professionals across the territory	Milestone	Entry into force of legal act(s) on healthcare	Provisions in the legal act(s) indicating the entry into force				Q2	2025	The legal act(s) shall: -introduce a methodology for determining the number of nursing and/or midwifery professionals, required in different types of healthcare facilities; -abolish university fees for students in nursing and midwifery programmes; -provide that the personnel costs for health professionals in providers of hospital and outpatientt medical care which have contracts with the National Health Insurance Fund are determined according to their qualifications; -offer free training of health professionals who commit to work in outpatient clinics in regions with limited access to healthcare; -introduce the possibility for nursing and midwifery professionals, rehabilitators and doctor’s assistants to establish their own practice; -provide for the invitation for participation of the professional organisation of nurses, midwives and associated health professionals in the process of negotiations with the National Health Insurance Fund (NHIF). -introduce health care services performed for newborns up to 6 months after discharge from the hospital in the package of outpatient care activities financed by the NHIF provided by nursing and midwifery professionals via their own private practice.
328	C12.R6: Plan for modern health education in schools	Milestone	National Plan for Health Education in the Bulgarian Schools 2021-2027	Adoption by the Council of Ministers				Q4	2022	The National Plan for Health Education in the Bulgarian Schools 2021-2027 shall specify measures to foster health education in schools, covering topics such as reproductive health, nutrition and harmful consumption of alcohol and other psychoactive substances.
330	C12.I1: Modernisation of hospital facilities	Milestone	Hospital facilities	Equipment supplied and construction and/or renovation works carried out				Q2	2026	- Equipment shall be supplied to 50 hospital facilities; - Construction and/or renovation works shall be carried out in 7 hospital facilities.
332	C12.I2: Centres for interventional diagnosis and endovascular treatment of cerebrovascular diseases	Milestone	Signature of contract(s) for construction and/or renovation works and for the supply of medical equipment	Signed contract(s)				Q4	2025	The contract(s) shall cover the construction and/or renovation and the supply of medical equipment for medical centres for interventional diagnosis and treatment of cerebrovascular diseases categorised as group 2 in the Concept for the Development of Centres for Interventional Diagnostics and Endovascular Treatment of Cerebrovascular Diseases.
333	C12.I2: Centres for interventional diagnosis and endovascular treatment of cerebrovascular diseases	Target	Centres for cerebrovascular diseases		Number	0	23	Q2	2026	- Construction and/or renovation works for six Group 2 centres for interventional diagnosis and endovascular treatment of cerebrovascular diseases shall be carried out; - equipment in the six Group 2 centres shall be supplied; - equipment for 17 Group 1 medical centres shall be supplied. The categorisation of Group 1 and Group 2 medical centres shall follow the definition in the Concept for the Development of Centres for Interventional Diagnostics and Endovascular Treatment of Cerebrovascular Diseases.
335	C12.I3: Modernisation of psychiatric care	Target	Renovated and equipped psychiatric care facilities		Number	0	25	Q2	2026	Renovation works for 18 medical facilities providing psychiatric care shall be carried out. Additionally, equipment and furniture for a total of 25 medical facilities providing psychiatric care (including the aforementioned 18) shall be supplied.
336	C12.I4: Establishment of an air ambulance system	Milestone	Signature of contract(s) for the delivery of helicopters to the air ambulance system	Signed contract(s)				Q2	2025	The contract(s) shall cover the delivery of seven helicopters to the air ambulance system, which shall: -be classified as category A, class 1 or 2; -include medical equipment, as well as ground equipment. In addition, the contract(s) shall cover construction works for five operational sites with hangars for the air ambulance system.
337	C12.I4: Establishment of an air ambulance system	Target	Delivery of helicopters and construction of hangars for the air ambulance system		Number	0	12	Q2	2026	Proofs of delivery of seven helicopters with medical equipment shall be delivered. Contruction works for five operational sites with hangars for the air ambulance system shall be carried out.
339	C12.I5: National Digital Platform for Medical Diagnostics	Milestone	Signature of contract(s) for the development of the National Digital Platform for Medical Diagnostics	Signed contract(s)				Q2	2025	The contract(s) shall cover the development of the National Digital Platform for Medical Diagnostics. This platform shall allow for: -the uploading of medical images; -the processing of the medical images by a machine learning algorithm.
340	C12.I5: National Digital Platform for Medical Diagnostics	Target	Healthcare facilities accessing the National Digital Platform for Medical Diagnostics		Number	0	20	Q2	2026	Access to the National Digital Platform for Medical Diagnostics contract(s) shall be granted to 20 healthcare facilities.
343	C12.I7: Development of outpatient care	Milestone	Signature of contract(s) for the construction and/or renovation works for outpatient units or mobile ambulatory containers as well as the supply of equipment	Signed contract(s)				Q4	2025	The contract(s) shall cover construction and/or renovation works for 100 outpatient care units or mobile ambulatory containers. In addition, the contract(s) shall cover the supply of a digital platform. The platform shall: - allow for the provision of telemedicine services; - include modules for medical diagnostics and treatment.
345	C12.I7: Development of outpatient care	Target	Outpatient care units or mobile ambulatory containers		Number	0	101	Q2	2026	Construction and/or renovation works for 100 outpatient care units or mobile ambulatory containers shall be carried out. In addition, equipment shall be delivered to and installed in these unitst. Each outpatient care unit or mobile ambulatory container shall have access to the digial platform and be staffed by health professional.

M. COMPONENT 13: REPowerEU

The objective of the REPowerEU component of the Bulgarian recovery and resilience plan is to reduce the dependence on fossil fuels and accelerate the green transition across key sectors of the economy, while also focusing on supporting vulnerable groups.

The component includes reforms on establishing a governance framework for energy poverty and preparation for retail electricity market liberalisation, as well as on enhancing the transparency of grid connection procedures, and improving the functioning of the electricity balancing market, along with enabling demand-response measures. These reforms are complemented by investments in a national information system for energy poor households and vulnerable customers, electricity storage infrastructure, and photovoltaic installations and electric vehicles for social service facilities.

M.1. Description of the reforms and investments for non-repayable financial support

Reform 1 (C13.R1): Governance framework for energy poverty and preparation of retail market liberalisation

The objective of this reform is to contribute to addressing energy poverty and protecting energy poor households and vulnerable customers, as well as to further facilitate the liberalisation of the retail market.

The measure consists in legal act(s) related to energy poverty.

Reform 2 (C13.R2): Transparency of connection procedures for new renewable and storage capacities

The objective of this reform is to increase the transparency of connection procedures for new renewable capacities.

The measure consists in the creation of an online grid hosting capacity map.

Reform 3 (C13.R3): Functioning of the balancing market and of demand-response

The objective of this reform is to support the functioning of the balancing market in Bulgaria.

The measure consists in the accession of the Transmission System Operator ESO EAD to the Platform for the International Coordination of Automated Frequency Restoration and Stable System Operation (PICASSO) and the publication of a report on demand-response measures.

Investment 1 (C13.I1): Information system on energy poor households and vulnerable customers

The objective of this investment is to facilitate the identification of energy poor households and vulnerable customers.

The investment consists in making available for use an information system on energy poor households and vulnerable customers.

Investment 2 (C13.I2): Scaled-up measure: National infrastructure for storage of electricity (RESTORE)

The objective of this investment is to support electricity storage facilities and is a scale-up of the existing investment 8 of component 4.

The investment consists in the installation of electricity storage facilities.

Investment 3 (C13.I3): Installation of Photovoltaic Systems and Provision of Electric Vehicles for Social Services Facilities

The objective of this investment is to support renewable energy installations and electric vehicles for the provision of social services.

The measure consists in (i) the installation of photovoltaic systems on existing social services facilities; and (ii) the delivery of electric vehicles for social services facilities.

Investment 4 (C13.I4): Support for capacities for electricity generation from renewable sources and electricity storage

The objective of the investment is to increase the share of clean energy in Bulgaria’s energy mix.

The measure consists in supporting the installation and connection to the grid of renewable power production capacity together with electricity storage facilities.

M.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support

Seq Nr	Related Measure (Reform or Investment)	Milestone / Target	Name	Qualitative indicators (for milestones)	Quantitative indicators (for targets)			Indicative timeline for completion		Description of each milestone and target
					Unit of measure	Baseline	Goal	Quarter	Year
347	C13.R1: Governance framework for energy poverty and preparation of retail market liberalisation	Milestone	Legal act(s) designating and establishing responsible bodies	Adoption of legal act(s)				Q2	2025	Legal act(s) shall -designate a responsible body for maintaining an information system of energy poor households and energy vulnerable customers; -establish a responsible body for designing measures tackling energy poverty in view of a retail electricity market liberalisation. The legal act(s) shall specify that the responsible body shall design a programme in relation to reducing energy poverty within the first six months of its establishment.
348	C13.R1: Governance framework for energy poverty and preparation of retail market liberalisation	Milestone	Preparatory measures for liberalisation of retail market	Entry into force of legal act(s); adoption of a decision of the Energy and Water Regulatory Commission; approval of a communication strategy				Q4	2025	I. The following preparatory measures shall be taken : Entry into force of legal act(s) that allow for the possibility of a targeted compensation mechanism based on the status of households as energy poor and/or as vulnerable customers. II.Adoption of a decision of the Energy and Water Regulatory Commission (EWRC) that shall set a base value for electricity supplied to households for an annual period. In addition, the responsible body for designing measures tackling energy poverty shall prepare a communication strategy regarding the retail electricity market liberalisation, including on measures to protect energy poor households and vulnerable customers, which shall be approved.
349	C13.R2: Transparency of connection procedures for new renewable and storage capacities	Milestone	Grid hosting capacity map	Grid hosting capacity map publicly accessible online				Q2	2026	The publicly accessible online grid hosting capacity map shall contain: -Information on the connection capacity available per type of resource including generation, load and storage at 400 kV and 220 kV sub-station levels. -information per sub-station concerning (i) reserved capacity contracted or allocated; (ii) number of contracts for the contracted capacity; (iii) remaining available capacity. -information on planned grid investments per sub-station in terms of additional capacity for the upcoming 5 years showing expected available capacity. The methodology used to determine the available connection capacity shall be made publicly available and shall require the update of the grid capacity hosting map at least once per month.
350	C13.R3: Functioning of the balancing market and demand-response	Milestone	Membership of the PICASSO Platform	Confirmed membership of ESO EAD in the PICASSO Platform				Q2	2025	The ESO EAD shall become a member of the PICASSO Platform.
351	C13.R3: Functioning of the balancing market and demand-response	Milestone	Report by the EWRC	Publication of report by the EWRC				Q2	2026	The Energy and Water Regulatory Commission (EWRC) shall publish a report that: -assesses the regulatory conditions, including licensing regime, for the participation of energy storage systems and industrial consumers in the balancing market. -conducts a cost-benefit analysis for the installation of smart meters for households and non-household customers. -outlines recommendations and a timeline for demand-response measures, including through the installation of smart meters and the participation of aggregators. The draft report shall be subject to a public stakeholder consultation.
352	C13.I1: Information system on energy poor households and vulnerable customers	Milestone	Information system on energy poor households and vulnerable customers	Information system contains data on energy poor households and vulnerable customers				Q2	2026	An information system shall be available for use. It shall contain data on the energy poor households and vulnerable customers in Bulgaria and certify the status of a household in energy poverty and as a vulnerable customer for electricity supply. The identification and certification of a household in energy poverty and as a vulnerable customer for electricity supply shall be based on the provisions of the Energy Act and the Ordinance on the criteria, conditions and procedure for determining the status of households in energy poverty and the status of vulnerable customers of electricity.
353	C13.I2: National infrastructure for storage of electricity (RESTORE) (scaled-up)	Target	Electricity storage facilities		Megawatt-hours (MWh)	0	1 900	Q2	2026	72h testing protocol(s) showing installation and connection to the electricity grid have been issued for electricity storage facilities for 1 900 MWh of usable energy capacity.
354	C13.I3: Installation of Photovoltaic Systems in Social Services Facilities and Provision of Electric Vehicles for Social Services Facilities	Milestone	Installation of photovoltaic systems and delivery of electric vehicles	Issuance of certificates of installation or delivery				Q2	2026	Acceptance certificate(s) of installation of photovoltaic systems with a minimum capacity of 15 kW in 500 social service facilities have been issued. Certificate(s) of delivery of 250 electric light commercial vehicles intended for use by social service facilities have been issued.
356	C13.I4: Support for capacities for electricity generation from renewable sources and electricity storage	Milestone	Call(s) for selection of projects	Publication of call(s)				Q2	2025	Call(s) for the selection of projects for the construction of production capacity of electricity from renewable sources (wind and solar power) collocated with electricity storage are published.
357	C13.I4: Support for capacities for electricity generation from renewable sources and electricity storage	Target	Production capacity of electricity from renewable sources co-located with electricity storage		Megawatts (MW)	0	1 425	Q2	2026	72h testing protocol(s) showing installation and connection to the grid have been issued for 1 425 MW of production capacity of electricity from renewable sources, i.e. wind and solar power, co-located with at least 350 MW electricity storage.

2. Estimated total cost of the recovery and resilience plan

The estimated total cost of the recovery and resilience plan of Bulgaria is BGN 12 075 546 451, which equals EUR 6 174 106 145 on the basis of the EUR BGN ECB reference rate of 15 October 2021.

SECTION 2: FINANCIAL SUPPORT

1.Financial contribution

The instalments referred to in Article 2(2) shall be organised in the following manner:

1.1.First Instalment (non-repayable support)

Sequential Number	Related Measure (Reform or Investment)	Milestone / Target	Name

1	C1.R1 Reform in preschool and school education and vocational education and training	Milestone	Entry into force of the amendments to the Pre-school and School Education Act and to secondary legislation.
5	C1.R2 Higher education reform	Milestone	Entry into force of the amendments to the Higher Education Act
6	C1.R2 Higher education reform	Milestone	National Map of Higher Education
35	C3.R1 Legal framework to attract industrial investment and develop industrial ecosystems	Milestone	Entry into force of the new Industrial Parks Act
113	C4.R9 Roadmap to Climate Neutrality	Milestone	Entry into force of the Government Decision establishing the Green Energy Transition Commission
137	C7.R2 Assignment of radio frequency spectrum	Milestone	Entry into force of the decree on the reduction of spectrum fees
140	C7.R3 Creating a favourable investment environment	Milestone	Entry into force of legislative changes implementing recommendations under the Connectivity Toolbox
148	C7.I2 TETRA system and radio relay network	Milestone	Award of contracts for development of TETRA system and radio relay network
161	C8.R1 Strategic transport framework	Milestone	Entry into force of the National Plan for the Development of Combined Transport in Bulgaria by 2030
169	C8.R2 Road safety	Milestone	New road safety strategy and its action plan
199	C8.I6 Sofia metro line 3	Milestone	Contracts on the construction of new sections of line 3 of Sofia metro following open and competitive tender
207	C9.R1 A new regional approach with the direct involvement of local communities in the management of European funds and instruments	Milestone	Amendments to the regulatory framework regarding management of EU funding
213	C10.R1 Reform in the justice system	Milestone	Adoption of a Roadmap by the Council of Ministers for the implementation of judgments of the European Court of Human Rights
238	C10.R8 Measures concerning the anti-money laundering framework	Milestone	Adoption of the action plan to mitigate the money laundering and terrorist financing risks identified in the national risk assessment
241	C10.R9 Improving the quality of the legislative process	Milestone	Entry into force of the Rules for the Organisation and the Activity of the National Assembly
279	C10.I11 Information and administrative environment for the recovery and resilience plan	Milestone	Provision of a repository system for monitoring of the implementation of the RRP
280	C10.I11 Information and administrative environment for the recovery and resilience plan	Target	Update of video guides to cover in full all business processes of the RRP information system
281	C10.I11 Information and administrative environment for the recovery and resilience plan	Milestone	Entry into force of the act setting up the Management and Control system for the RRP
282	C10.I11 Information and administrative environment for the implementation of the recovery and resilience plan	Milestone	An approved workload analysis for the National Funds Directorate and the Central Coordination Unit, entry into force of the amendments to the structural regulations for the Executive Agency ‘Audit of EU Funds’ and the implementation of respective recommendations
286	C11.R1 Reform of the minimum income scheme	Milestone	Entry into force of the amendments to the secondary legislation of the Social Assistance Act
290	C11.R2 Reform of social services	Milestone	Entry into force of the Ordinance on the Quality of Social Services
315	C12.R1 Upgrading the strategic framework of the healthcare sector	Milestone	National Strategy for the Mental Health of Citizens of the Republic of Bulgaria 2021-2030 and action plan for the implementation of the strategy
		Instalment Amount	EUR1 368 912 911

1.2.Second Instalment (non-repayable support):

Sequential Number	Related Measure (Reform or Investment)	Milestone / Target	Name

2	C1.R1 Reform in preschool and school education and vocational education and training	Milestone	Entry into force of the amendments to the Employment Promotion Act
3	C1.R1 Reform in preschool and school education and vocational education and training	Milestone	Action Plan for the implementation of the Strategic Framework for the Development of Education, Training and Learning in the Republic of Bulgaria (2021-2030)
7	C1.R2 Higher education reform	Milestone	Action plan for the implementation of the Strategy for the Development of Higher Education in the Republic of Bulgaria (2021-2030)
8	C1.I1 STEM centres and innovation in education	Milestone	Establishment of the national STEM centre
321	C12.R2 Development of e-health and of the National Health Information System	Milestone	Entry into force of the amendments to the e-Health regulatory framework
40	C3.I2.1.a Guarantee instrument for growth	Milestone	Signature of contribution agreement between the European Commission and the Government of Bulgaria
43	C3.I2.1.b Equity instruments for growth	Milestone	Signature of financing agreement between the European Investment Fund and the Government of Bulgaria
46	C3.I2.1.c Grant scheme for technological modernisation	Milestone	Selection procedures completed
48	C3.I2.1.d Grant scheme for information and communication technology and cybersecurity in small and medium enterprises	Milestone	Selection procedures completed
50	C3.I2.1.e Innovation Pool (Equity instruments for innovation)	Milestone	Signature of financing agreement between the European Investment Fund and the Government of Bulgaria
56	C3.I2.2.b Guarantee instrument for energy efficiency and renewable energy	Milestone	Signature of the contribution agreement between the European Commission and the Government of the Republic of Bulgaria
61	C3.2.3.a Equity instruments for climate neutrality and digital transformation investments	Milestone	Signature of a financing agreement between the Republic of Bulgaria and the European Investment Fund
63	C4.R1 Establishment of a National Fund for Decarbonisation	Milestone	Assessment of the national energy efficiency regulatory framework published by an independent expert panel
66	C4.R3 Definition of “energy poverty” and of criteria for identifying households in energy poverty and vulnerable consumers	Milestone	Entry into force of amendments to the Energy Act and secondary legislation concerning “energy poverty”
67	C4.R2 Facilitating investments in energy efficiency renovations in residential buildings	Milestone	Entry into force of the amendments to the Act on the Administration of Condominium Property Ownership Management Act
68	C4.I1 Support for the renovation of the building stock	Milestone	Establishing a national support scheme for energy efficiency renovation for residential and non-residential buildings
69	C4.I1 Support for the renovation of the building stock Sub-measure 1: Renovation of residential buildings	Milestone	Call for proposals for the energy efficiency renovation for residential buildings
72	C4.I1 Support for the renovation of the building stock Sub-measure 2: Renovation of non-residential buildings, including public buildings and Sub-measure 3: Renovation of non-residential buildings in manufacturing, trade and services	Milestone	Calls for proposals for the energy efficiency renovation for non-residential buildings
82	C4.R4 Boosting energy efficiency and renewable energy projects through the energy bills	Milestone	Entry into force of legal acts regarding energy efficiency improvements under Energy Service Companies (ESCO) model.
85	C4.I4 Digital transformation of the electricity transmission grid	Milestone	Signed contracts or the commencement of works for the upgrade of the national transmission systems
79	C4.I3 Support for energy-efficient street lighting systems	Milestone	Signature of grant contracts for renovation of public lighting systems (call 1)
29	C2.I1 Programme to support research and innovation	Target	Signature of contracts with research higher education institutions
92	C4.R8 Liberalisation of the electricity market	Milestone	Electricity market integration
83	C4.R5 One-stop shops for energy efficiency renovations	Milestone	Establishment of pilot one-stop-shops for energy renovation
91	C4.R8 Liberalisation of the electricity market	Milestone	Entry into force of legal acts
105	C4.I7 Increasing the use of renewable energy from geothermal sources	Milestone	Entry into force of legal acts regarding the use of renewable energy from geothermal sources
114	C4.R9 Roadmap to Climate Neutrality	Milestone	Adoption by the Council of Ministers of a Decision on a Roadmap to Climate Neutrality
95	C4.R6 Increasing electricity generation from renewable sources	Milestone	Entry into force of legal acts
97	C4.I8 National infrastructure for storage of electricity (RESTORE)	Milestone	Amendment of the national legislative framework to support fast deployment of electricity storage
76	C4.I2 Support for renewable energy for households	Milestone	Establishing a national renewable energy support scheme for households
126	C5.R1 Establishment of the governance structure of Natura 2000 Network	Milestone	Amendments to the Biodiversity Act
138	C7.R2 Assignment of radio frequency spectrum	Milestone	Notification of assignment of the rights of use to operators in the 26 GHz spectrum band
162	C8.R1 Strategic transport framework	Target	Strengthening the capacity to manage and implement TEN-T railways projects
173	C8.R3 Sustainable urban mobility	Milestone	Integration of sustainable urban mobility into territorial strategies and development planning
214	C10.R1 Reform in the justice system	Milestone	Entry into force of the legislative amendments to the Legal Assistance Act
217	C10.R2 Anti-corruption	Milestone	Entry into force of the law on the protection of persons reporting breaches or publicly disclosing information on breaches and of the amendments to the legal framework related to whistleblowing
218	C10.R2 Anti-corruption	Milestone	Entry into force of legal act(s) reforming the Anti-corruption and the Illegal Assets Forfeiture Commission
219	C10.R2 Anti-corruption	Milestone	Improving the role of the Inspectorate within the Supreme Judicial Council in preventing and counteracting corruption in the judiciary
227	C10.R3 Legal acts regarding the mediation framework	Milestone	Entry into force of legal acts regarding the mediation framework
228	C10.R4 Measures concerning the insolvency framework	Milestone	Entry into force of legal acts with regards to the insolvency and restructuring procedures
231	C10.R6 Registry reform to unlock the potential of eGovernment	Milestone	Entry into force of amendments to the Electronic Governance Law
232	C10.R6 Registry reform to unlock the potential of eGovernment	Milestone	Entry into force of amendments to the Law on Cadastre and Property Register
234	C10.R7 Governance framework for state-owned enterprises	Milestone	Adoption of a state ownership policy
239	C10.R8 Measures concerning the anti-money laundering framework	Milestone	Adoption of an update to the national risk assessment of money laundering and terrorist financing
242	C10.R10 Public Procurement	Milestone	Entry into force of legislative amendments to the Law on Public Procurement to reduce the number of contracts without a call for tender and single-call bids
235	C10.R7 Governance framework for state-owned enterprises	Milestone	Adoption of the annual Summary Reporting on the Performance of State-owned Enterprises
251	C10.R11 Entrepreneurial Bulgaria	Milestone	Introduction of a procedure and requirements for issuing and revoking a visa for start-up entrepreneurs
252	C10.R11 Entrepreneurial Bulgaria	Milestone	Entry into force of the Personal Bankruptcy Law
253	C10.R11 Entrepreneurial Bulgaria	Milestone	Entry into force of a new chapter in the Commerce Law for the introduction of a new legal form of a commercial company
256	C10.R12 Economic analysis council	Milestone	Institutionalisation of the Economic Analysis Council
283	C10.I11 Information and administrative environment for the recovery and resilience plan	Target	Members of staff trained on procurement
287	C11.R1 Reform of the minimum income scheme	Milestone	Finalisation of a report on the minimum income scheme
297	C11.I2 Provision of assisting devices to persons with permanent disabilities	Milestone	Methodology for the selection of persons with permanent disabilities
299	C11.I3 Development of the social economy	Target	Building and equipping 6 regional focus centres
316	C12.R1 Upgrading the strategic framework of the healthcare sector	Milestone	National Map of the Long-Term Needs of the Healthcare Sector
317	C12.R1 Upgrading the strategic framework of the healthcare sector	Milestone	National Health Strategy 2030
318	C12.R1 Upgrading the strategic framework of the healthcare sector	Milestone	National Strategy for Child and Adolescent Health and Paediatric Care in the Republic of Bulgaria 2030
319	C12.R1 Upgrading the strategic framework of the healthcare sector	Milestone	National Plan for Combating Cancer in the Republic of Bulgaria 2021-2027
328	C12.R6 Plan for modern health education in schools	Milestone	National Plan for Health Education in the Bulgarian Schools 2021-2027
		Instalment Amount	EUR 653 151 273

1.3.Third Instalment (non-repayable support):

Sequential Number	Related Measure (Reform or Investment)	Milestone / Target	Name

24	C2.R1 Common policy for research and innovation	Milestone	Entry into force of legal act(s) on research and innovation
25	C2.R1 Common policy for research and innovation	Milestone	Legal act(s) related to research and innovation
29a	C2.I1 Programme to support research and innovation	Milestone	Signature of contract
31	C2.I2 Investment in the Bulgarian Academy of Sciences	Milestone	Measures for the Joint Innovation Centre
32	C2.I2 Investment in the Bulgarian Academy of Sciences	Milestone	Quantum key distribution optical route
36	C3.I1 Programme for industrial parks and zones (“AttractInvestBG”)	Target	Selection of industrial parks /zones
42	C3.I2 Investment 2.1.a Guarantee instrument for growth	Target	Operations approved by the InvestEU Investment Committee
47	C3.I2 Investment 2.1.c Grant scheme for technological modernisation	Target	Bugdet execution – transfer of at least EUR 120 million for technological modernisation
53	C3.I2 Investment 2.2.a - Grant scheme for investments in renewable electricity sources for own use with local storage facilities	Milestone	Approved projects
58	C3.I2 Investment 2.2.b - Guarantee instrument for energy efficiency and renewable energy	Target	Financial or investment operations approved by the InvestEU Investment Committee
59	C3.I2 Investment 2.2.c Grant scheme for the support of businesses in the transition to a circular economy	Milestone	Approved projects
64	C4.R1 Establishment of a National Fund for Decarbonisation	Milestone	Entry into force of legal act(s) establishing the National Fund for Decarbonisation
84	C4.R5 One-stop shops for energy efficiency renovations	Target	One-stop shops designated
90	C4.R7 Supporting the green hydrogen value chain	Milestone	Entry into force of legal act(s) on the green hydrogen value chain
115	C4.R10 Decarbonisation of the energy sector	Milestone	Entry into force of legal act(s) introducing a CO2 emissions cap for lignite and coal fired power plants
70	C4.I1 Support for the renovation of the building stock Sub-measure 1: Renovation of residential buildings Sub-measure 2: Renovation of non-residential public buildings and Sub-measure 3: Renovation of non-residential buildings in manufacturing, trade and services	Milestone	Signature of contracts for the energy efficiency renovation of buildings
88	C4.I4 Digital transformation of the electricity transmission grid	Target	Increase of maximum monthly net cross-border transmission capacity by 1600 MW
122	C4.I8 National infrastructure for storage of electricity (RESTORE)	Milestone	Signature of contracts for electricity storage facilities
131	C6.R1 National Action Programme	Milestone	Adoption of the National Action Programme
139	C7.R2 Assignment of radio frequency spectrum	Milestone	Entry into force of decision(s) by the Communications Regulation Commission assigning rights in the 700 MHz and 800 MHz spectrum bands
149	C7.I2 TETRA system and radio relay network	Milestone	Delivery of equipment based on the TETRA standard
164	C8.R1 Strategic transport framework	Milestone	Market assessment on the scope of public service obligation
184	C8.I1 Railways rolling stock	Milestone	Signature of contracts for the purchase of zero-emission railways rolling stock
200	C8.I6 Sofia metro line 3	Target	Construction of metro line 3 in Sofia
220	C10.R2 Anti-corruption	Milestone	Anti-Corruption body set up and operational
222	C10.R2 Anti-corruption	Milestone	Entry into force of legal act(s) concerning the criminal proceedings and the accountability and criminal liability of the Prosecutor General
229	C10.R4 Measures concerning the insolvency framework	Milestone	Measures on the insolvency framework
230	C10.R5 Digital reform of the Bulgarian construction sector	Milestone	Strategy and roadmap for the introduction of Building Information Modelling (BIM)
233	C10.R6 Registry reform to unlock the potential of eGovernment	Milestone	Entry into force of legal act(s) on electronic governance
237	C10.R7 Governance framework for state-owned enterprises	Milestone	Compliance of the composition of the management boards of large state-owned enterprises
240	C10.R8 Measures concerning the anti-money laundering framework	Milestone	Capacity and capabilities of supervisors
244	C10.R10 Public Procurement	Milestone	Public Procurement Agency’s methodology
245	C10.R10 Public Procurement	Milestone	Standard eForms for public procurement
255	C10.R11 Entrepreneurial Bulgaria	Milestone	Entry into force of legal act(s) on distance working
263	C10.I3 Information and communication infrastructure at the Public Prosecutor’s Office	Milestone	Information and communication infrastructure at the Public Prosecutor’s Office
267	C10.I4 Security services	Milestone	Acquisition of body cameras
284	C10.I11 Information and administrative environment for the recovery and resilience plan	Milestone	Update or release of video guides
288	C11.R1 Reform of the minimum income scheme	Milestone	Entry into force of legal act(s) related to the minimum income scheme
291	C11.R2 Reform of social services	Milestone	Entry into force of legal act(s) on the National Map of Social Services
303	C11.I4 Renovation of the Social Assistance Agency	Milestone	Signature of contracts for the Social Assistance Agency territorial structures
307	C11.I6 Support of the cultural sector	Milestone	Entry into force of legal act(s) on the National Culture Fund
312	C11.I7 Digitisation of archives	Milestone	Methodology and standards for the digitisation of content
322	C12.R2 Development of e-health and of the National Health Information System	Milestone	Upgrade of the National Health Information System (NHIS)
323	C12.R3 Improving the attractiveness of health professions and promoting a more balanced distribution of health professionals across the territory	Milestone	Entry into force of legal act(s) concerning funding for health professionals
324	C12.R3 Improving the attractiveness of health professions and promoting a more balanced distribution of health professionals across the territory	Milestone	Entry into force of legal act(s) on healthcare
336	C12.I4 Establishment of an air ambulance system	Milestone	Signature of contract(s) for the delivery of helicopters to the air ambulance system
339	C12.I5 National Digital Platform for Medical Diagnostics	Milestone	Signature of contract(s) for the development of the National Digital Platform for Medical Diagnostics
347	C13.R1 Governance framework for energy poverty and preparation of retail market liberalisation	Milestone	Legal act(s) designating and establishing responsible bodies
350	C13.R3 Functioning of the balancing market and demand-response	Milestone	Membership of the PICASSO Platform
356	C13.I4 Support for capacities for electricity generation from renewable sources and electricity storage	Milestone	Call(s) for selection of projects
		Instalment Amount	EUR 1 618 592 629

1.4.Fourth Instalment (non-repayable support):

Sequential Number	Related Measure (Reform or Investment)	Milestone / Target	Name

4	C1.R1 Reform in preschool and school education and vocational education and training	Milestone	Entry into force of legal act(s) in the field of vocational education and training
49	C3.I2 Investment 2.1.d Grant scheme for information and communication technology and cybersecurity in small and medium enterprises	Target	Budget execution – transfer of at least EUR 12.59 million for digitalisation
60	C3.I2 Investment 2.2.c Grant scheme for the support of businesses in the transition to a circular economy	Target	Completed projects in the area of circular economy
65	C4.R1 Establishment of a National Fund for Decarbonisation	Milestone	Contract and operating rules
93	C4.R11 Improving corporate governance of state-owned companies in the energy sector	Milestone	Conditions for a new state-owned holding company
78	C4.I2 Support for renewable energy for households	Target	Supported households
106	C4.I7 Increasing the use of renewable energy from geothermal sources	Milestone	Geothermal tool
136	C6.I2 Digitalisation of processes from farm to fork	Milestone	Electronic agricultural information system
163	C8.R1 Strategic transport framework	Milestone	Measures on transport
165	C8.R1 Strategic transport framework	Milestone	New public service contract (PSC) for public rail transport services
176	C8.R4 Integrated public transport	Milestone	Entry into force of legal act(s) on public transport
178	C8.R5 Electric mobility	Milestone	Entry into force of legal act(s) on electric mobility
181	C8.R5 Electric mobility	Milestone	Low-emission zones
208	C9.R2 Water supply and sewerage reform	Milestone	Entry into force of legal act(s) on water supply and sewerage
215	C10.R1 Reform in the justice system	Milestone	Entry into force of legal act(s) on e-justice in administrative cases
223	C10.R2 Anti-corruption	Milestone	Entry into force of legal act(s) on lobbying activities
258	C10.I1 Upgrading the Unified Information System of Courts	Milestone	Upgrade of the Unified Courts Information System
260	C10.I2 Digitalisation of litigation processes in administrative justice	Milestone	Information modules and hardware for the digitalisation of litigation processes in administrative justice
278	C10.I10 Monitorstat system	Milestone	Upgraded Monitorstat system
285	C10.I11 Information and administrative environment for the recovery and resilience plan	Milestone	Trainings on the activities under the RRF
304	C11.I4 Renovation of the Social Assistance Agency	Target	Territorial structures of the Social Assistance Agency renovated
308	C11.I6 Support of the cultural and sector	Target	Support for the cultural sector
332	C12.I2 Centres for interventional diagnosis and endovascular treatment of cerebrovascular diseases	Milestone	Signature of contract(s) for construction and/or renovation works and for the supply of medical equipment
343	C12.I7 Development of outpatient care	Milestone	Signature of contract(s) for the construction and/or renovation works for outpatient units or mobile ambulatory containers as well as the supply of equipment
348	C13.R1 Governance framework for energy poverty and preparation of retail market liberalisation	Milestone	Preparatory measures for liberalisation of retail market
		Instalment Amount	EUR 900 000 000

1.5.Fifth Instalment (non-repayable support):

Sequential Number	Related Measure (Reform or Investment)	Milestone / Target	Name

10	C1.I1 STEM centres and innovation in education	Target	Construction and/or renovation works
13	C1.I2 Infrastructure works in educational facilities	Target	Renovation and/or construction works of schools, kindergartens and student dormitories, and construction works of campuses
18	C1.I3 Digital skills	Target	Digital clubs
21	C1.I3 Digital skills	Target	Certificates for acquired level of digital skills
22	C1.I4 Youth centres	Milestone	Construction and/or renovation works for youth centres, establishment of a National focus centre, and people registered
28	C2.I1 Programme to support research and innovation	Target	Projects by SMEs and higher education institutions or research organisations
30	C2.I1 Programme to support research and innovation	Target	Reports approved
33	C2.I2 Investment in the Bulgarian Academy of Sciences	Milestone	Refurbishing the Bulgarian Academy of Sciences and research project(s) in the field of green and digital transition
38	C3.I1 Programme for industrial parks and zones (“AttractInvestBG”)	Target	Projects in the industrial parks/zones
42a	C3.I2 Investment 2.1.a Guarantee instrument for growth	Target	Operations approved by the InvestEU Investment Committee
45	C3.I2 Investment 2.1.b Equity instruments for growth	Target	Operations approved by the Investment Committee
52	C3.I2 Investment 2.1.e Innovation Pool (Equity Instruments for Innovation)	Target	Operations approved by the Investment Committee
55	C3.I2 Investment 2.2.a - Grant scheme for investments in renewable electricity sources for own use with local storage facilities	Target	Capacity of installed storage facilities
62	C3.I2 Investment 2.3.a Equity instruments for climate neutrality and digital transformation investments	Target	Operations approved by the Investment Committee
93a	C4.R11 Improving corporate governance of state-owned companies in the energy sector	Milestone	New state-owned holding company
120	C4.R10 Decarbonisation of the energy sector	Target	Reduction of carbon dioxide emissions from the power sector
71	C4.I1 Support for the renovation of the building stock Sub-measure 1: Renovation of residential buildings	Target	Energy-efficiency renovation of residential buildings
75	C4.I1 Support for the renovation of the building stock Sub-measure 2: Renovation of non-residential public buildings and Sub-measure 3: Renovation of non-residential buildings in manufacturing, trade and services	Target	Energy efficiency renovation of non-residential buildings
75a	C4.I9 Subsidy scheme – renovation of residential buildings	Milestone	Implementing Agreement, legal subsidy agreements and transfer of funds
81	C4.I3 Support for energy-efficient street lighting systems	Target	Reduction of energy consumption
89	C4.I4 Digital transformation of the electricity transmission grid	Target	Conditions for the integration of production capacity from renewable sources into the electricity system
96	C4.R6 Increasing electricity generation from renewable sources	Milestone	Entry into force of legal act(s)
125	C4.I8 National infrastructure for storage of electricity (RESTORE)	Target	Electricity storage facilities
134	C6.I1 Technological and ecological transition of agriculture	Target	Projects under the Fund to promote the technological and ecological transition of agriculture
146	C7.I1 Large-scale expansion of digital infrastructure	Milestone	Upgrade of the State backbone network
147	C7.I1 Large-scale expansion of digital infrastructure	Milestone	Access to very high capacity networks (VHCN)
186	C8.I1 Railways rolling stock	Target	Zero-emission railways rolling stock
197	C8.I5 Road safety	Milestone	Equipment for road safety
201	C8.I6 Sofia metro line 3	Target	Metro line 3 in Sofia
201a	C8.I10 Metro rolling stock	Target	Metro trains
203	C8.I7 Green mobility	Milestone	Zero-emission vehicles, charging stations, lighting for pedestrian crossings and cycling infrastructure
206a	C8.I8 Equipment for monitoring or maintenance of railway tracks and overhead lines	Target	Acceptance protocol(s) for equipment
206b	C8.I9 Renovation of railway infrastructure	Target	Renovation of railway lines and overhead lines
226a	C10.R2 Anti-corruption	Milestone	Measures to counter corruption and increase integrity
245a	C10.R10 Public Procurement	Milestone	Measures on public procurement
248	C10.R10 Public Procurement	Milestone	Reduction of the proportion of contracts awarded on the basis of a single bidder and of the share of negotiated procedures without prior publication
265	C10.I4 Security services	Milestone	Security and Surveillance Systems
270	C10.I6 Supporting a pilot phase for the introduction of building information modelling	Milestone	Introducing building information modelling
273	C10.I7 Unified information system for spatial planning, investment design and building permitting	Milestone	Platform for spatial planning, investment design and building permitting
293	C11.I1 Infrastructure works in long-term care establishments	Target	Long-term care establishments and homes for old people renovated and/or constructed
298	C11.I2 Provision of assisting devices to persons with permanent disabilities	Milestone	Selection of persons with permanent disabilities to receive assisting devices
306	C11.I5 Digital services at the Employment Agency	Milestone	Digital services for the Employment Agency
314	C11.I7 Digitisation of archives	Milestone	Institutions with digitised items available on a new digital platform equipment for digitising content
314a	C11.I8 Culture infrastructure	Milestone	Digital equipment
330	C12.I1 Modernisation of hospital facilities	Milestone	Hospital facilities
333	C12.I2 Centres for interventional diagnosis and endovascular treatment of cerebrovascular diseases	Target	Centres for cerebrovascular diseases
335	C12.I3 Modernisation of psychiatric care	Target	Renovated and equipped psychiatric care facilities
337	C12.I4 Establishment of an air ambulance system	Target	Delivery of helicopters and construction of hangars for the air ambulance system
340	C12.I5 National Digital Platform for Medical Diagnostics	Target	Healthcare facilities accessing the National Digital Platform for Medical Diagnostics
345	C12.I7 Development of outpatient care	Target	Outpatient care units or mobile ambulatory containers
349	C13.R2 Transparency of connection procedures for new renewable and storage capacities	Milestone	Grid hosting capacity map
351	C13.R3 Functioning of the balancing market and demand-response	Milestone	Report by the EWRC
352	C13.I1 Information system on energy poor households and vulnerable customers	Milestone	Information system on energy poor households and vulnerable customers
353	C13.I2 National infrastructure for storage of electricity (RESTORE) (scaled-up)	Target	Electricity storage facilities
354	C13.I3 Installation of Photovoltaic Systems in Social Services Facilities and Provision of Electric Vehicles for Social Services Facilities	Milestone	Installation of photovoltaic systems and delivery of electric vehicles
357	C13.I4 Support for capacities for electricity generation from renewable sources and electricity storage	Target	Production capacity of electricity from renewable sources co-located with electricity storage
		Instalment Amount	EUR 1 633 449 332

SECTION 3: ADDITIONAL ARRANGEMENTS