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Government adopts two flood recovery programmes by 2028 with development programme also being drafted

At its two last sessions, the Government of the Republic of Slovenia adopted two flood recovery programmes to repair the damage caused by the August 2023 floods, with the development incentives measures programme also being drafted. After successfully preparing and submitting the application for financial assistance from the European Union Solidarity Fund, Slovenia received the maximum possible advance payment from the EU Solidarity Fund of EUR 100 million already in December 2023.
all three ministers standing at the microphones

mag. Alenka Bratušek, Minister of Infrastructure, Jože Novak, Minister of Natural Resources and Spatial Planning, and Dr Aleksander Jevšek, Minister of Cohesion and Regional Development | Author Ministry of Infrastructure

At today's joint press conference, the details and content of the programmes, drafted on the basis of the total estimated damage, were presented by Ministers Jože Novak, mag. Alenka Bratušek and Dr Aleksander Jevšek.

The programme to deal with the consequences of direct damage to property caused by severe storms with heavy several days long rainfall with floods and landslides of 4 August 2023, drafted by the Ministry of Natural Resources and Spatial Planning under its responsibilities and on the basis of the Act on Elimination of the Consequences of Natural Disasters, plays a key role in proving resources and implementing recovery measures following the worst floods to ever hit Slovenia. The programme was examined and approved by the Commission for the restoration of natural disaster damage to property. The programme covers measures for the reconstruction of municipal infrastructure and other public facilities and damaged privately-owned buildings, the reconstruction of damaged water infrastructure (to reach the functional state resistant to climate change), the implementation of geotechnical measures - landslide rehabilitation, replacement construction, and the restoration of cultural heritage and natural values. The total amount of funding available by 2028 is estimated at EUR 2.33 billion, of which EUR 1.36 billion is earmarked for water infrastructure rehabilitation.

"We prepared a list of projects, and the Government adopted a recovery programme of EUR 2.3 billion. This ensured that the already-started projects, temporarily financed with advance payments. Municipalities no longer have to worry about not being able to finance them," said Minister of Natural Resources and Spatial Planning Jože Novak. In 2024, approximately EUR 100 million is earmarked for the rehabilitation of municipal infrastructure and landslide rehabilitation, EUR 50 million for housing reconstruction, and EUR 70 million for replacement construction, the Minister added.

A total of EUR 1.36 billion is earmarked for the rehabilitation of water infrastructure by 2028, of which EUR 120 million will be used in 2024. The Minister underlined that " emergency measures to ensure that rivers flow smoothly are mostly complete, and permanent solutions that are also resilient to climate change are part of this five-year programme, the implementation of which has started."

The second programme, prepared by the Ministry of Infrastructure, namely the Slovenian Infrastructure Agency, on the basis of the Act on the Elimination of the Consequences of Natural Disasters, is the programme to deal with the consequences of direct damage to property caused by floods of 4 August 2023 in the field of national road and railway infrastructure. After updating and recording the new sections where measures are needed to repair the damage caused by the disaster, the estimated damage to road infrastructure equals EUR 559.2 million with the estimated damage to railway infrastructure equalling EUR 265.07 million. The total amount of funding is estimated at EUR 824.3 million. The programme also focuses on increasing the resilience of infrastructure to extreme weather conditions and the challenges of climate change.

Mag. Alenka Bratušek, Minister of Infrastructure, explained that after updating and recording the new sections where measures are needed to repair the damage caused by the disaster, the estimated damage to the road infrastructure equals EUR 559.2 million. In total, the programme covers 48 road reconstruction and rehabilitation projects and 23 bridge projects, three of which are group projects which include several small bridges. The preliminary programme covered 1,800 kilometres of national roads. The final programme covers 1,984 kilometres of national roads, which is almost a third of the total national roads. Interventions to restore traffic flow were implemented on 690 kilometres of the abovementioned total length.

"I am delighted that we have managed to provide transport connectivity almost all over Slovenia in record time. For example, in Struge, thanks to the efforts of all the contractors and our staff, whom I thank for their dedicated work, we managed to secure emergency transport by 1 September 2023 so that children could go to school. The implementation of the measures under the programme is part of a broader flood rehabilitation, which also aims to strengthen the resilience of this infrastructure to extreme weather events, preparedness for the challenges posed by climate change, and reduce the risk of loss and damage that may be caused by further extreme weather events," the Minister underlined. "The estimated damage to railway infrastructure equals EUR 265.07 million. The programme covers two major projects, the so-called Bled lake-Bohinjska Bistrica line, which is approximately 30 kilometres long, and the so-called Koroška line, which runs from Sveti Daniel to the state border, which is approximately 20 kilometres long. We have also obtained Recovery and Resilience Plan funding for these two lines."

For 2024, budgetary commitments for the implementation of both programmes are secured through reallocation from the general budget reserve. For the period 2025-2028, budgetary commitments will be provided under the state budget for each year (in the course of the preparation of the budgets and budget implementation in accordance with budgetary practice) and from the Fund for the Reconstruction of Slovenia.

Prior to the adoption of the programmes to repair the damage, preliminary programmes were adopted

Prior to the adoption of the programmes to deal with the consequences of direct damage, which were presented by ministers at today's press conference, the Government had already adopted two preliminary programmes with the aim of preventing an increase in the damage already caused, protecting lives and property, and providing some assistance to the affected population as soon as possible. The Government successfully prepared and submitted the application for financial assistance from the European Union Solidarity Fund.

On 21 September 2023, the Government approved the preliminary programme to deal with the consequences of direct damage to property drafted by the Ministry of Natural Resources and Spatial Planning. The programme addressed urgent measures to prevent an increase in the damage already caused and to protect the lives and property of the population in the aftermath of the disaster. This programme served as the basis for advance payments to municipalities and individuals. EUR 218.6 million was paid to municipalities for emergency rehabilitation of municipal infrastructure and EUR 33.5 million to individuals (just over 7000 beneficiaries).

On 12 October 2023, the Government approved the preliminary programme to deal with the consequences of direct damage to property in the field of national road and railway infrastructure, The programme, drafted by the Ministry of Infrastructure, addressed urgent measures to prevent an increase in the damage already caused and to protect the lives and property of the population.

On 25 October 2023, the Government approved the final estimate of direct damage and concluded that the total final estimate of direct damage to property exceeds 0.3 promille of the planned state budget revenue for 2023, thus reaching the limit for assistance under the Act on Elimination of the Consequences of Natural Disasters.

On 20 October 2023, the Ministry of Cohesion and Regional Development submitted the application for financial assistance from the European Union Solidarity Fund to the European Commission. The damage caused by the disaster was assessed using the internationally recognised PDNA (Post-Disaster Needs Assessment) methodology. The total estimate of the direct damage and consequences for the affected population, economy and environment is approximately EUR 9.9 billion. The assessment of damage and consequences covers all aspects of the disaster, from the provision of replacement of buildings, rehabilitation of watercourses, restoration of infrastructure, protection and reconstruction of cultural heritage sites, waste disposal and management, etc.

On 29 November 2023, Slovenia was granted the maximum possible advance of EUR 100 million from the EU Solidarity Fund for flood recovery. The advance has already been transferred to the Budget of the Republic of Slovenia with the money almost entirely spent for the reimbursement of the costs of interventions and measures during and after the floods. Slovenia will receive up to EUR 300 million of EU funding in the second half of 2024 or with the new European Parliament composition. The Ministry of Cohesion and Regional Development is setting up a team to manage these funds. According to the regulation, Slovenia must spend the awarded funding and report to the Commission within 18 months of the allocation of the funds by the European Parliament.

In accordance with Article 99 of the Act on Reconstruction, Development and Provision of Financial Resources, the Ministry of Cohesion and Regional Development is also drafting and coordinating a development incentives measures programme.

"This programme enables beneficiaries to obtain development funds to deal with the consequences of natural disasters and to promote regional development in the affected areas, which will be included in the programme on the basis of the development risk criteria of individual areas," said Minister Dr Aleksander Jevšek when presenting the said programme.