Dalkia, the owner of Varna’s heating utility, will invest nearly five million euro in the development of the heating provider over the next three years.

Part of the funds will be invested in the construction of installations that will produce thermal energy and electricity from biomass, Dalkia said, as quoted by Dnevnik daily.

A team of specialists is currently working on the project.

More than 10km of the heating supply network will be renovated in the next three years. The annual heating loss along the network is nearly 30 per cent; it will be reduced twofold after the renovations.

Dalkia acquired heating provider Toplofikatsia Varna in April 2007 for 6.8 million euro. The privatisation contract obliges the new owner to keep the company up to date with the European Directives for Environment Protection.