Where Did the Hemus Highway Money Go? Government Launches New Audit of Road Contracts

The Bulgarian Ministry of Regional Development and Public Works is launching a comprehensive audit of existing road construction and maintenance contracts. Regional Minister Ivan Shishkov announced that the ministry is tightening oversight of project execution while reviewing the chronology of agreements and annexes related to the Hemus motorway, the Vidin-Botevgrad road, and national network maintenance. According to Shishkov, the goal is to address the current state of the sector by focusing on the specific contracts that established these obligations.

Contractual Review and Operational Oversight

Minister Shishkov confirmed that the ministry has inherited numerous public procurement procedures, some of which are already in progress. While the ministry is currently managing approximately 30 contracts for major road repairs, Shishkov emphasized that the contractors involved were selected under previous administrations. The ministry is now implementing stricter control mechanisms to ensure these projects meet quality standards and deadlines.

The state-owned company Avtomagistrali remains a key player, having secured three public procurement contracts for ongoing motorway maintenance. Following the initial signing of these contracts in 2024, the ministry oversaw the addition of several supplemental agreements to these existing commitments.

Did You Know?
The ministry is currently auditing contracts that include projects like the Hemus motorway, where some lots—specifically 7, 8, and 9—were approved for funding despite the absence of finalized technical designs at the time.

The Hemus Motorway Funding and Historical Context

A significant portion of the ministry’s audit focuses on the Hemus motorway, specifically regarding shifts in advance payment policies. According to Shishkov, a June 2019 order from then-Regional Minister Petya Avramova limited advance payments to 20% of contract values. However, a follow-up order issued on September 12, 2019, allowed for significantly higher payments.

On that same day, the Management Board of the Road Infrastructure Agency approved 35% advance financing for the first three lots of the Hemus project. This approach was later extended to lots 7, 8, and 9. Furthermore, in May 2020, an additional agreement was signed for 260 million BGN covering lots 5 and 8, even though construction activity on parts of these sections had barely commenced. Shishkov noted that he has submitted multiple reports to the prosecution regarding these payments, seeking to clarify the destination of the advanced funds.

By prioritizing oversight over cancellation, the ministry is attempting to salvage the value of previous investments, though the success of this strategy relies heavily on the ability of current contractors to deliver quality work on schedule.

Investigations into Infrastructure Irregularities

The ministry is also addressing allegations of construction mismanagement, most notably concerning the Northern Speed Tangent. Inspections indicated that approximately one-third of the required asphalt is missing from the project. Shishkov stated that the investigation into this case was resumed on June 30, 2026, and he expressed an expectation that the matter will eventually be resolved in court.

To improve future operations, the ministry is restructuring its internal departments, specifically merging the directorates responsible for public procurement and legal services. Additionally, officials are preparing an analysis of the toll system, which may lead to increased use of GPS tracking for heavy vehicles and the installation of more scales to monitor truck overloading. A specialized committee is also set to determine whether metal guardrails or concrete barriers are the most effective safety solution for the motorway network.

Frequently Asked Questions

Why is the ministry not terminating the existing road contracts?
According to Minister Shishkov, terminating these contracts would result in severe financial losses for the state, making it more practical to enforce strict quality and deadline requirements instead.

What is the status of the investigation into the Northern Speed Tangent?
Inspections revealed that about one-third of the necessary asphalt is missing from the project. The investigation into this case was officially resumed on June 30, 2026.

What changes are planned for the toll and monitoring system?
The ministry is analyzing the current toll system and exploring the implementation of GPS tracking for heavy-duty vehicles, alongside a plan to install more weigh stations to prevent truck overloading.

How do you believe the government should balance the need for rapid infrastructure completion with the necessity of rigorous financial oversight?

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