Flood damage to small businesses estimated to be enormous

OZS president Blaž Cvar told the STA on Sunday that the final damage caused by the floods would be enormous, specially in the area of Ravne na Koroškem in the north, where, according to initial estimates, the floods have affected 40% to 50% of small businesses.

"Most of the industrial zones in the area, in Prevalje, Mežica and Črna na Koroškem, are located along the Meža River, which is why the proportion of companies that have suffered damage is so high," Cvar added.

The first estimates by the OZS suggest that small businesses and craftspersons in Slovenia suffered a total of EUR 250 million in damage in the floods, while the final estimate of the damage is expected to be much higher.

Cvar noted that damage had not only been done to commercial buildings and offices, but also to infrastructure, adding that some businesses were not able to operate at all as road access was impossible.

"In Koroška, access to businesses will first have to be established. Bridges and roads along the Meža and Mislinja rivers have been destroyed," Cvar said, noting that there would also be indirect damage, as many small businesses were suppliers to large companies.

The Chamber of Commerce and Industry (GZS) also noted that the consequences of the floods for the economy would be enormous. "Our members from the most affected regions report that there is practically no business that has not suffered damage," the chamber said.

According to unofficial information, the most affected companies in Koroška are the plant of the steel group SIJ in Ravne, the vehicle parts maker KLS in Ljubno and the batteries maker TAB in Mežica.

The plant of the metrology company Lotrič Meroslovje on the Selška Sora River, east of the town of Železniki (NW), is also said to have suffered considerable damage.

In the area along the Savinja River, unofficial information say that the most damage has been suffered by the companies Podkrižnik, Kovinoplastika Benda and Cinkarna Celje in Mozirje.

The home appliance maker BSH Hišni Aparati in Nazarje suspended production on Friday as its plant was flooded, while the local authorities in Ljubno said that the water had completely destroyed the local industrial zone.

A meeting with business representatives has been called for Monday at the Economy Ministry, which is expected to discuss the damage assessment and measures to be taken.

Cvar expects that measures to help businesses will also be discussed, and that aid will be provided as soon as possible. "The damage has to be repaired as soon as possible. The damage increases with every day that companies are without business," he noted.

The OZS will propose that employees of companies that are out of business due to the floods get extraordinary annual leave so that they can repair the damage at their homes and ensure their personal safety, Cvar said.

Infrastructure Minister Alenka Bratušek meanwhile met today with representatives of the motorway company DARS and other state-owned transport infrastructure companies, to agree to suspend all non-urgent work on roads and railways, the ministry said.

It was decided that the construction machinery used for this work will be made available for the repair of the damage done by the floods. A meeting with all concessionaires and other major construction companies on this topic will be held on Monday.