BDZ with financial losses of nearly BGN 30 million The financial situation of BDZ Passenger Transport is deteriorating again, despite the large number of people traveling by train. Passengers carried for the first half of the year were 10.8 million, which is 804,250 more than last year. Against this background, BDZ's passenger transports are at a loss of BGN 27.3 million. For comparison, the losses amounted to BGN 2.3 million in the first half of 2022. A loss, although smaller, is also reported by "BDZ Freight Transport" - BGN 1.45 million. The profit in this segment for the half year of 2022 is BGN 6.9 million. The main reason is the decrease in revenues from the state to compensate for high electricity prices by BGN 5.2 million and a 3% drop in revenues from freight transportation. And with this company, the main expenses are for personnel - 34.77 million BGN  out of a total of 72.78 million BGN. 2,262 people work in freight transport. The average salary is BGN 1,929 compared to BGN 1,643 last year, an increase of 17%. 2.79 million tons of cargo were transported at BGN 3.48 million for the same time last year, or 20% less. The cap of the two companies - "Holding BDZ" - is in the red by 1.66 million BGN with a profit in 2022 of 6.67 million BGN. The deterioration of the result is again due to income of a one-time nature in 2022 - BGN 9.64 million from a long-term litigation. BDZ's commitment to support Ukrainian citizens housed in their bases leads to a loss of over 1 million BGN. The company expects to receive state funding of BGN 832,000. 10.8 million people have been transported for the first half of 2023. The other reasons why passenger train losses have increased nearly 8 times is the increase of BGN 1.3 million in fuel costs, and infrastructural fees - by nearly BGN 6 million. The biggest increase is the money for wages - by BGN 11.53 million. BGN 28.17 million was received from the sale of tickets and cards, and compensation from the state under the public service contract was BGN 98 million. The company's total revenue was BGN 128.61 million. , and the expenses - BGN 147.31 million. There are 5,165 people in passenger transport per state, the total expenses for them are 73.72 million BGN, 54.53 million were paid for salaries, the rest is mainly insurance. As of January 1, fees have been increased by BGN 130 per person. From the report on the repairs of locomotives and wagons, it is clear that the company is not fulfilling its business program. The worst is with the ongoing maintenance and periodic repair of locomotives. BGN 13.8 million is planned for 613 machines, the report shows BGN 3.3 million spent, and the number of maintained locomotives is 457. In all types of repairs, the company does not fulfill its program.
Source: money.bg (08.09.2023)

First license for private passenger trains The first license for a private passenger railway carrier was issued by the Executive Agency "Railway Administration". It is owned by the PIMK Rail Express company, it is clear from the agency's website. PIMK Rail has a license for freight transport and has been one of the railway carriers since 2015. At the moment, the only company that transports passengers by train is BDZ Passenger Transport, and for the first time a competitor appears. Penko Nestorov, one of the owners of PIMK, said they have a year to launch the project and business plan. "We are looking at the possibilities for a route on which to launch trains. The main one is Sofia-Burgas, where higher speeds are allowed on completed sections of the railway line, as well as automated train traffic control, which gives greater throughput. Only then it makes sense to invest in new rolling stock," he added.
Source: 24 chasa (25.10.2023)

The PIMK Rail Express company has received a license for a private passenger rail carrier from the Executive Agency "Railway Administration". PIMK Rail has a license for freight transport and has been one of the railway carriers since 2015. At the moment, the only company that transports passengers by train is BDZ Passenger Transport, and for the first time a competitor appears. Penko Nestorov, one of the owners of PIMK, said they have a year to launch the project and business plan. "We are looking at the possibilities for a route on which to launch trains. The main one is Sofia-Burgas, where higher speeds are allowed on completed sections of the railway line, as well as automated train traffic control, which gives greater throughput. Only then it makes sense to invest in new rolling stock," he added.
Source: 24 chasa (26.10.2023)

CPC again stopped orders for new trains For the second time, the Commission on Protection of Competition (CPC) has suspended orders for new trains, which total over BGN 2.7 billion, following complaints. Two of the procedures have been blocked. The first time the suspension was for announced orders from the caretaker government. After the change of the ministers of transport, the new one - Georgi Gvozdeikov, stopped the procedures to be reworked, and then - on September 4 and September 6, he announced new ones. There are four public contracts. The first is for the supply of 20 single-deck electric push-pull trains for a speed of 200 km/h with a capacity of at least 300 seats. The estimated value is over BGN 1.2 billion excluding VAT. The second is for the delivery of 35 electric locomotives with a capacity of at least 200 seats. The estimated value is BGN 1.1 billion. The third is for 7 double-decker electric motor trains with a capacity of at least 300 seats. They are valued at BGN 410.528 million. The fourth requires delivery of 18 electric shunting locomotives in two positions. For them, the estimated price is BGN 68.36 million. A condition for all tenders is 15 years of maintenance and staff training. The orders for the 35 electric trains, as well as for the 7 double-deckers, which are worth BGN 1.5 billion in total, have been appealed.
Source: 24 chasa (02.11.2023)

The future subsidized railway carrier will be selected by tender The future public railway carrier of Bulgaria, which will be subsidized by the state, will be selected by public procurement. The conditions of the procedure will be announced by March 31, 2024. This is clear from a message from the Ministry of Transport to the Public Procurement Agency in connection with the performance of public transport services in the field of railway transport. Thus, Bulgaria will keep the commitment made before the European Commission, through the National Recovery and Sustainability Plan (NRSP), from January 1, 2025, to give the opportunity to other railway companies, besides BDZ, to receive a state subsidy to transport passengers. The current contract between "BDZ Passenger Transport" and the state for the transport of passengers expires at the end of 2024. For this year, the subsidy received by the state carrier is about BGN 200 million. It is expected that interest in the tender will be high, because the future operator will received the right to operate the new rolling stock as well, and the state will pay and even its maintenance for 15 years, which the Ministry of Transport will buy with the money under the NPVU. It is unofficially commented that, in addition to BDZ Passenger Transport, several private railway carriers also have plans to participate in the tender. Currently, only PIMK Rail Express has a license for passenger transport. The company plans to launch a passenger line in the Sofia - Plovdiv - Burgas direction next year.
Source: mediapool.bg (09.11.2023)

Record state guarantees for the last ten years to be included in the budget for 2024, the Ministry of Finance proposes. The amount is up to BGN 4.5 billion, with the government guarantee mainly intended for energy projects. The majority of the amount - about BGN 3 billion or EUR 1,500,417,089 - is earmarked for the construction of the Seventh Block of the Kozloduy NPP. The state guarantee is necessary for borrowing by the project company for the construction of the new nuclear power plant based on Westinghouse's AP-1000 technology. At the end of October, the government decided that "Bulgarian Energy Holding" will contribute BGN 500 million to the capital of the project company "NPP Kozloduy New Capacities" and thus become a co-shareholder of the nuclear power plant in this company. The other major state guarantee is actually transferred from last year a guarantee for the loan for 207.5 million euros already taken by the state gas operator "Bulgartransgaz" from the European Bank for Reconstruction and Development. The funds are for the project to expand the gas storage in Chiren and increase its capacity for useful use of reserves to 1 billion cubic meters. Its total value will be around 308 million euros according to the latest data. The state guarantee, included last year in the budget update, in favor of the state gas supplier "Bulgargaz" is also preserved. The company then received a guarantee for a loan of about BGN 300 million or EUR 150 million for the provision of alternative quantities of blue fuel after the suspension of Russian supplies at the end of April 2022. Two new guarantees are included in next year's budget in favor of " The National Electric Company (NEC) and its water projects. One is for the modernization and rehabilitation of the Chaira Paving Plant, which is not working after a serious accident, and is for BGN 80 million. In April 2022, during preparations for commissioning after rehabilitation, one of the four units was permanently damaged. The other repaired facility was never launched for security reasons, and the other two were already shut down. The next guarantee for NEK is for BGN 75 million and is also for new loans to increase the volume of the lower leveler of the Chaira Pavement Plant with the construction of the Yadenica dam and a reversible pressure tunnel to connect with the Chaira dam. EUR 300 million have been pledged to guarantee loans to "BDZ - Passenger Transport" for the acquisition of rolling stock. In the period 2020-2022, the state guarantees were between BGN 760 and 840 million, and in 2019 they were only for BGN 215 million, in 2018 and 2017 they were for BGN 700 million each, and in the previous two years they reached BGN 3 billion.
Source: Duma (16.11.2023)

The intermodal terminal in Ruse was dropped from the National Recovery Plan When planning the investments under the "Transport Connectivity" Program 2021-2027, a balance will be sought between Northern and Southern Bulgaria. "The past 2 program periods clearly show that there is a need to significantly speed up the implementation of railway projects, where the biggest delays are generated," said Minister Gvozdeikov. After the intermodal terminal in Ruse was dropped from the National Plan for Recovery and Sustainability, the state is looking for opportunities to finance it. "The terminal fully corresponds to the policy for promoting investments in Northern Bulgaria, as well as for stimulating combined transports," emphasized Gvozdeikov. The "Obelya" intermodal station will be used daily by 12,000 people who travel in this part of the capital. According to him, this project will bring added value to the railway transport in the western directions to Dragoman, Kyustendil and Bozhurishte.
Source: economy.bg (23.11.2023)

BDZ signed a contract for BGN 83 million for locomotive maintenance "BDZ - Passenger Transport" signed a contract for BGN 83.8 million for the maintenance of 15 Siemens Smartron locomotives for a period of 9 years. The executor of the order is the association "Siemens Tron". To this order there is also a second, smaller one - for the supply of spare parts worth BGN 867 thousand. "The contracts are an important part of ensuring the maintenance of the locomotives, whose warranty period expires in 2024," wrote BDZ - Passenger transports" when announcing the news. The locomotives in question were purchased in 2020 in two stages for almost BGN 100 million. The last of them were delivered towards the end of 2021. In the following year, more than half of the brand new locomotives were stopped from running for a period of time due to wear and tear on monobloc wheels. The specifics of the track were cited as the reason, which led to faster wear than expected, and the delivery of the necessary spare parts was not agreed on time. Participants in the association "Siemens Tron" are "Siemens Mobility", with sole owner, the "Siemens Mobility Holding" registered in the Netherlands, as well as the Austrian "Siemens Mobility Austria". The contracts are the result of direct negotiation with the contractor, as he is also the rolling stock manufacturer.
Source: Capital (18.12.2023)

BDZ and Siemens Tron signed a contract for 10 new locomotives "BDZ-Passenger Transport" and "Siemens Tron" have signed the contract for the supply of 10 new electric locomotives worth over BGN 91 million. The first machine must be delivered within 18 months after the signing of the contract, or in the second half of 2025 Last week, contracts were signed for the maintenance of the 15 locomotives that are in operation. In the next 9 years, it will be carried out by "Siemens Tron" for over BGN 90 million. To date, only the private Plovdiv company "Pimk" has been issued a license for rail passenger transport.
Source: Duma (21.12.2023)