Energy Management Agency – Popovo, Bulgaria

1. GRANT AGREEMENT-EIE/TYPE2/05/116/SI2.421505Establishment of 4 local energy management agencies in A Coruña (Spain), Podkarpackie (Poland), South-Ostrobothnia (Finland) and Popovo (Bulgaria) Energy Management Agency – Popovo, Bulgaria

2. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises Newly established or existing micro-enterprises operating in non-agricultural sectors in rural municipalities. Micro enterprises are defined as enterprises which employ fewer than 10 persons and whose annual turnover and/or annual balance sheet total does not exceed EUR 2 million and complying with all requirements of the Commission Recommendation 2003/361/EC on the definition of SME's. Types of beneficiary enterprises

3. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises Description of the type of operations Support will be given to investments and related external marketing and management services to develop business activity in non-agricultural sectors such as: • Processing industry - furniture production, light engineering, etc.; • Renewable energy production: – production of bio-energy to meet the micro-enterprises own energy needs; and/or – production of bio-energy for sale in case of processing products (raw materials) not covered by Annex I to the Treaty; and/or – production of energy for sale from renewable energy sources (solar, wind, water, geothermal energy, etc.). The capacity of the installations under this measure should not exceed 1 MW. • Services – rural tourism initiatives by private enterprises, recreation and sports, setting-up or development of consultancy and business services, social and health care, transport services, etc.

4. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises Type of support (a) Grant aid for eligible investments, including general costs related to the investment; (b) Grant aid for external consultancy for development of marketing strategy, productdevelopment; introduction of quality systems, etc., linked to the supported non-agriculturalactivity; (c) Grant aid for expenditure for advertising and publishing promotional materials linked tothe supported non-agricultural activity. The expenditure under (b) and (c) and the general cost related to theinvestments may notexceed 12% of total project eligible expenditure.

5. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises Aid intensity • 70% of the total eligible expenditure, subject to the limits and conditions imposed by thede minimis rules (Commission Regulation (EC) No 1998/2006). • The minimum total eligible expenditure per project will be EUR 5 000; • The maximum total eligible expenditure per project will be EUR 400 000 andin caseof investments in renewable energy production - EUR 1 000 000. • The maximum grant aid per project will be EUR 200 000, and in case of investmentsin road transport sector - EUR 100 000.

6. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises Eligibility and Selection Criteria All applications will be checked against the eligibility criteria. Eligible projects will then be ranked according to the priority selection criteria listed below. The applications for support will have to comply with all the conditions for eligibility of applicants, operations and expenditure specified in this Section. Applicants have to comply with the following eligibility conditions: - to be registered according to the Commercial Law, Co-operatives Law or Crafts Law and comply with the definition of a micro-enterprise according to Commission Recommendation 2003/361/EC; - the investment is to be undertaken on the territory of the rural municipality to which the project application relates.

7. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises Eligibility and Selection Criteria In the selection process the projects will be ranked and priority will be given to: - Projects for development of integrated rural tourism services, renewable energy and ICT-based services; - Newly established enterprises (autonomous enterprises registered up to 1 year prior to the application); - Projects proposed by women and young people (adults below 40 years old); - Projects implemented on the territory of the 178 rural municipalities that are not included in agglomeration areas; - Projects proposed by applicants who have never previously received EU support for implementation of a similar project; ; - Projects proposed by applicants that have their headquarters or registered branches (for sole traders and legal entities) on the territory of the municipality, where the project is to be undertaken.

8. RURAL DEVELOPMENTPROGRAMME(2007-2013)Measure 312Support for the Creation and Development of Micro-Enterprises RURAL DEVELOPMENTPROGRAMME(2007-2013) - Contact information • Ministry of Agriculture and FoodSofia 1040,Blvd. "Hristo Botev" 55 Phone: +3592 985-11-199 www.mzh.government.bg • Regional Directorate “Agriculture” - TargovishteTargovishte 7700,Str. “Stephan Karadzha” 2Phone: +359 6016-21-94 • Municipal office “Agriculture” Popovo Popovo 7800,Sq. “Alexander Stamboliiski” 1 Phone: +359 6082-65-74

9. Residential Energy Efficiency Credit Line THANK YOU! Energy Management Agency – Popovo, Popovo,Bulgaria www.ema-popovo.com e-mail: ema_popovo@abv.bg e-mail: ema_popovo@dir.bg