Monbat intends to invest EUR 550 million in battery production

Over 72 investment plans from 32 companies with a total value of over EUR 5.5 billion. This is the tally compiled by the Bulgarian Ministry of Energy, based on investment proposals in the Stara Zagora region that would support the transition to a low-carbon economy. This is one of the main challenges facing the coal regions in Bulgaria, among which are also Pernik and Kyustendil.

We remind you that the energy ministry issued a call for expressions of interest from large enterprises. Their proposals will serve to protect the eligibility of additional funds from the Just Transition Fund.

The companies submitted their proposals by the beginning of November, and these envisage the creation of over 10,000 new jobs, as well as the preservation of over 11,000 existing jobs in the Stara Zagora region.

The main fear of workers in these regions is that they will lose their jobs, especially after the closure of coal plants.

The project proposals for Stara Zagora region

The Bulgarian Ministry of Energy presented a complete list of the proposals made by Bulgarian and international companies. It is clear from it that there is a great interest in the Stara Zagora region. Many of the local employers, including state-owned and private energy companies, are ready to invest in low-emission power production capacities in combination with energy storage systems and green hydrogen production.

The largest planned investment comes from Monbat, which amounts to over EUR 550 million. It would create 443 new jobs. The company plans to invest the funds in the mass production of energy storage cells and batteries.

The largest number of new jobs - about 800 - is foreseen by Smart Energy Group, whose investment would be in the amount of EUR 120 million. It will be injected into the construction of a plant for the production of solar panels with a capacity of 1.5 GW.

Arms manufacturer Arsenal would retain 7,000 existing jobs through its investment. It will be worth more than EUR 49 million and will be used for the construction of a photovoltaic park with a capacity of 50 MW, the purchase of electric boilers for the production of steam with a capacity of 15 MW, thus reducing consumption of natural gas, currently used to generate steam. Arsenal also plans to purchase a 1 MW hydrogen electrolyser, which will be used for its production process as a substitute for natural gas.

Implementation

The investment proposals are non-binding and in order to receive the funds, the companies will have to participate in competitive procedures and prove their capabilities. The Bulgarian Ministry of Energy states that after the approval of the Territorial Plan for a Just Transition of the Stara Zagora Region, it will draw up the application procedures for assistance from the Just Transition Fund.

The indicated investment proposals exceed the planned funding from the Just Transition Fund many times over and clearly demonstrate the industry potential, attractiveness and business perspective of the Stara Zagora region."

Co-financed by the European Union. The views and opinions expressed are entirely those of their author(s) and do not necessarily reflect the views and opinions of the European Union or the European Commission. Neither the European Union nor the European Commission is responsible for them.

Translated by Tzvetozar Vincent Iolov