site.btaPresident Vetoes Provisions of Amendments to State Property Act

President Rumen Radev returned provisions of the amendments and supplements of the State Property Act to the National Assembly for further discussion, the President’s press secretariat said Monday. Radev believes that the amendments adopted on July 31 undermine legal safeguards previously established for certain disposal transactions with property entrusted to the state.

Radev argues the amendments streamline the process for selling assets of companies included on the prohibitive list under the Privatization and Post-Privatization Control Act. Previously, the sale of individual assets belonging to commercial entities with more than 50% state ownership required prior approval from the National Assembly based on a proposal from the Council of Ministers. This approval requirement has now been removed.

Radev warns that by eliminating parliamentary supervision, the changes effectively shield the ruling majority from political accountability related to state property transactions. He notes that these revisions undermine constitutional powers entrusted to the executive branch, which is responsible for managing and disposing of State assets. Over time, this could weaken the value and protection of the companies on the prohibitive list, rendering the list itself ineffective and merely symbolic.

Radev also expressed cautious support for accelerating administrative procedures for important public projects regarding the amendments made to the Investment Promotion Act and the Environmental Protection Act. However, he stresses that such acceleration must be based on clear, objective criteria and comply with principles of predictability and justification.

Given the broad definition of the term "strategic installation" in the Environmental Protection Act, Radev said the legislature opens the door to bypassing the established process for developing specific strategies and meeting their legal objectives. Fast-track procedures intended to prioritize critical projects could be misused for purposes beyond their original intent, potentially undermining the law’s purpose.

While not stated explicitly in Radev's reasoned opinion, the bills share an overall aim: to improve investment promotion by fast-tracking strategic installations. That aim cannot be pursued through legislation that curtails fundamental rights or runs counter to the Constitution’s imperative that the State manage entrusted property in the interests of citizens and society, Radev wrote.