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Kragujevac heating plant begins ash removal from disposal site in city center

August 15, 2025 by AEA in News

District heating plant Energetika has begun removing coal ash from an uncovered disposal site that has been polluting air and soil for years in the heart of Kragujevac, Serbia’s fourth-largest city. The effort is part of a project financed by an EUR 18 million loan from the European Bank for Reconstruction and Development (EBRD), to decarbonize the local district heating system.

The ash from Kragujevac is transported to cement plants in Kosjerić and Popovac to be used in the production of cement and construction materials, in line with circular economy principles, according to Serbian Minister of Environmental Protection Sara Pavkov.

On the first day, about 75 tons of ash was removed from the site, with plans to transport a total of 60,000 tons over 24 months.

The ash will be used in cement production in Kosjerić and Popovac

Ash removal is the second phase of the district heating decarbonization project in Kragujevac. In the first phase, old boilers were replaced with gas-fired units, significantly reducing air pollution, according to Dejan Ružić, deputy mayor of Kragujevac. This marked the end of coal use in the city’s district heating system.

The EBRD approved the loan for the project in 2021. Of the total amount, EUR 14 million was earmarked for boiler replacement, together with up to EUR 4 million for ash removal.

In the first phase, coal-fired boilers were replaced with gas-fired units

The bank said at the time that gas-fired boilers would have a capacity of 110 MW and that CO2 emissions from district heating would be cut by an estimated 66%, with sulfur dioxide and particulate matter (PM) emissions eliminated.

The Ministry of Environmental Protection has hired Novi Sad-based engineering and consultancy firm AG Institut to monitor the ash disposal services under a EUR 73.900 contract. The works are targeted for completion by July 15, 2027.

Aleksandar Lazović, general manager of the district heating plant, said the works would be carried out in line with the highest environmental standards, in a covered area, to prevent ash from dispersing into the environment.

District heating decarbonization in several Serbian cities

In June this year, Serbia and the EBRD signed a EUR 50 million loan to finance a series of air quality projects in Belgrade, Niš, Valjevo, Zaječar, Novi Pazar, and Smederevo, which had been mapped as cities with the largest excesses of harmful emissions.

The planned projects include replacing outdated boilers running on fuel oil, coal, and other air-polluting fuels with modern and sustainable heat energy sources, such as heat pumps, biomass, and industrial waste heat.

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August 15, 2025
airair pollutionair qualityashcircular economyCO2 emissionscoalcoal phaseoutdecarbonizationdistrict heatingdistrict heating systemEBRDgasloansparticulate matterPM
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AEA – Albania Energy Association is a industry association dedicated to representing the interests of Albanian and West Balkan for energy producers and consumers. AEA works to advance the development and adoption of sustainable energy solutions in Albania and the Western Balkans, supporting the region’s transition toward a cleaner, more secure, and more competitive energy future. AEA is registered by decision of the Court of Tirana, DECISION NO. 3032, (VAT:L11827451K).

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