LAWS TO WATCH: Strategic Investment Projects Act
According to the proposed amendments, potential strategic projects can be implemented on state-owned and local government property that is defined for development in the local and regional urban plans or if the property is in the maritime domain and if it forms a functional unit with the specific land.
Since most submitted projects have not closed their project financing, investors applying their project to become a strategic investment are required to provide proof of solvency (BON 1 and BON 2), their annual financial report for the previous year and last quarter. Prior to the entry into force of the government decision to designate a strategic project, and within 60 days, investors are required to submit a financial guarantee of at least 10% of the total project value to the Ministry of Economy.
In the case of private projects, an investor needs to submit an application to the Agency for Investment and Competitiveness (AIK) or to the Centre for Monitoring Business Activities in the Energy Sector and Investments (CEI) for projects in the energy sector.
AIK and CEI will be responsible for the administrative and technical verification of applications and for sending it to the Ministry of Economy, which is responsible for reviewing and forwarding projects to the government Commission for consideration.
In the case of public projects or public-private projects, the investor directly submits the project to the Ministry of Economy and the CEI, if it is a project in the energy sector.
Note: Public debate is open until 22 October 2014…