US embassy cable - 05SOFIA1398

UNCLAS SOFIA 001398 
 
SIPDIS 
 
E.O. 12958:  N/A 
TAGS: EAID, PREL, ASEC, BU, Floods 
SUBJECT:  BULGARIAN GOVERNMENT ESTIMATES HIGHER ECONOMIC 
COST FROM FLOODING 
 
Ref: (A) SOFIA 1224; (B) SOFIA 1272 
 
1.  SUMMARY:  The situation in Bulgaria is slowly improving 
after weeks of heavy rains and flooding.  However, 
conditions remain dangerous in some areas, and on August 4 
the government declared a state of disaster in three 
municipalities.  There have been 17 flood-related deaths and 
more than 60 percent of the country has been affected. 
Nearly 2 thousand Bulgarians have lost their homes.  The 
Bulgarian government estimates the damage at nearly USD 250 
million, which is considerably higher than the initial 
estimate.  To date the Bulgarian government has allocated 
USD 10 million for immediate flood relief and has received 
over USD 1 million from international organizations.  The 
Bulgarian government hopes that the majority of flood 
assistance will come from the European Union.  The U.S. is 
the largest bilateral donor to date. END SUMMARY. 
--------------------------------------------- --------- 
EXTENSIVE FLOODING:  GOVERNMENT REPORTS HIGHER DAMAGES 
--------------------------------------------- --------- 
2.  A report issued by the Bulgarian government August 4 
confirms that flooding was widespread, severe and 
protracted, and estimates the economic cost at USD 248.7 
million.  Twenty-five regions (131 municipalities) sustained 
significant damage, representing 63 percent of the territory 
of Bulgaria.  One forth of the Bulgarian population was 
affected, and there were 17 flood-related deaths.  The 
report shows that 176 houses were completely destroyed and 
396 are unfit for living.  A total of 1,716 people lost 
their homes and were evacuated. 
 
3.  Despite concerns by bread producers that prices would 
rise due to ruined grain crops, according to a report by the 
Agriculture Minister, Nihat Kabil, there was no significant 
damage to agricultural production.  The report states that 
only 3 percent of the grain fields were flooded.  The 
harvest is proceeding normally and is near completion, and 
there is no reason to expect higher bread prices, Kabil 
said. 
 
-------------------------------------------- 
MUNICIPALITIES REQUEST ADDITIONAL ASSISTANCE 
-------------------------------------------- 
4.  The Bulgarian government has acknowledged that it cannot 
cope with this natural disaster on its own, though the 
Council of Ministers' emergency commission allocated 16 
million Bulgarian leva for immediate flood relief (USD 10.13 
million).  Municipal authorities, however, have already 
voiced their concern that the costs to mitigate the 
consequences of the recent flooding are significantly 
higher.  The Association of Municipalities has requested an 
additional 50 million Bulgarian leva (32 million USD) from 
the central government.  The additional funds are required 
to cover the costs of reconstruction of municipal 
infrastructure. 
 
--------------------------------------------- -------------- 
INTERNATIONAL COMMUNITY RESPONDS TO GOVERNMENT'S APPEAL FOR 
ASSISTANCE 
--------------------------------------------- -------------- 
5.  The Bulgarian government hopes that the European Union's 
Solidarity Fund will provide a large portion of the flood 
assistance (ref B).  On behalf of the European Union, the UK 
Presidency extended its condolences to those affected by the 
recent flooding in Bulgaria and expressed its gratitude that 
a number of EU member states have already provided bilateral 
aid.  To date, Bulgaria has received assistance from Austria 
(50,000 sand bags), Greece (20,000 euros), the Czech 
Republic (equipment and disinfectants worth 17,000 euros) 
and Slovakia (household utensils and equipment worth USD 
40,000).  USAID/OFDA has donated USD 450,000, making the 
U.S. the largest donor to date. 
 
6.  COMMENT: The World Health Organization's July report on 
the flooding in Bulgaria notes that emergency agencies 
responded rapidly and effectively to the situation. 
However, internal governmental response to the flooding 
highlights the lack of co-ordination between municipalities 
and the central government, and this has led to a dispute 
over the scale of the state's assistance.  The recent crisis 
also illuminated the need to improve local legislation for 
handling emergency situations and to establish an early 
warning system. The ad-hoc Parliamentary Flood Relief 
Committee has said that current legislation and 
implementation regulations related to crisis response are 
ineffective, and has also questioned the structure of 
national agencies that provide support in a crisis 
situation.  END COMMENT 
LEVINE