The subject of the investment project is the development and manufacture of electric buses and support infrastructure intended for operation in towns and at airports. The investment project, worth 8,000,000 euros, is set to finish on 30 June 2017.
The applicant for the investment project is the Chinese company HONKONG Huaming Co. LTD, the majority stakeholder of TAM Durabus. The financial incentive was provided pursuant to Article 7.b of the Promotion of Foreign Direct Investment and Internationalisation of Enterprises Act, which enables the allocation of financial incentives to foreign investors without a tender under a special procedure in which the financial incentive is paid by the Government of the Republic of Slovenia.
The investment project will create 100 new jobs. The incentive will see a multiple return, as tax on profits alone is expected to total 5.2 million euros. In addition, the company will contribute 9.5 million euros in the form of contributions and personal income tax.
The incentive also has a non-financial impact, including the recognition of Slovenia as an environment friendly to foreign investors, reducing unemployment in Slovenia, raising added value per employee, and knowledge transfer due to cooperation with scientific and research institutions in Slovenia and Slovenian suppliers.
The project envisages cooperation with scientific and research institutions in Slovenia - the University of Maribor and its Faculty of Natural Sciences and Mathematics and PAZU, the Academic and Scientific Union of Pomurje. The implementation of the investment project will significantly help consolidate regional development in Slovenia.
At the same time, the project will be included among development programmes. The investment will total 8,000,000 euros, of which 2,000,000 euros is to come from the budget, 5,400,000 euros from the capital of the foreign investor (67.5%) and 600,000 euros or 7.5% of the investment’s value from bank loans. The investor will receive all budgetary funds in 2015.
Durabus will manufacture 85 airport buses this year, and plans to make 120 buses next year. Contracts have already been concluded for most them. In addition, the company will manufacture about 50 tourist buses, twice as many as this year.