….In October 2003 pursuant to a decree by the Municipal Council, the existing VETS SVOGHE EOOD Company was transformed into SVOGHE OOD 90% per cent of whose capital was owned by Petrovilla.

     A land cadastre of all of the 9 hydroelectric power plants according to the flood lines after their construction was developed in January of 2004. The detailed structuring plans for the plants were developed and approved by the summer of the same year. The Environmental Impact Assessment Report (EIAR) was completed by October 2004 and the Ministry of the Environment and Waters of the Republic of Bulgaria gave it a Class A rating. Once the mandatory procedures were implemented the report was approved by the ministry.

     The permits for the use of water by the nine power plants in the cascade were granted in 2005. Hydro Facility Operation Permits for stage-one plants were also granted.

     Taxation and assessment of all forests to suffer any impact was carried out. The Council of Ministers came up with a decree for the exclusion from the Forests Fund of the forests and lands necessary for the implementation of Phase One of the construction of the cascade. All of the geological and hydrological surveys of the building sites designated for the power plants have been carried out.

     By now 100% of the privately owned land needed for the construction of the first two plants has been bought up. The percentage for the next three plants comes to 90% whereas the figure for the last four is 40%.

     Title to the lands owned by the Municipality have been transferred to the company as a contribution in kind.

     The working projects for the first two hydroelectric power plants of the cascade have been completed. Construction permits have been issued.