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Kosovo’s* just energy transition: greening the Kingdom of Coal

Author: Tringë Shkodra

Kosovo’s* energy transition has great potential but key players such as small and medium-sized enterprises (SMEs) and young people are facing structural exclusion.

Our energy system is still heavily dependent on dirty fossil fuels and overburdened by frequent outages, reliance on imports, and growing costs, particularly during the winter when demand is at its highest and most households and businesses can no longer afford to pay energy bills. While infrastructure upgrades are essential, they are not enough. In order to succeed, this transition must be just, meaning it needs to be inclusive and rooted in the lived experiences of the people it aims to serve.

Understanding Kosovo’s* distinct socio-economic landscape, with the country having the youngest population in Europe as well as a large number of SMEs, is essential for addressing its development challenges and unlocking its potential.

SMEs form the backbone of the Kosovan* economy but get structurally excluded from accessing energy-saving practices. Many studies shed light on energy efficiency within Kosovo’s* private sector – particularly among SMEs, and show that these businesses face serious barriers to adopting sustainable practices. While larger firms are more likely to invest in energy-saving technologies, SMEs struggle with access to finance, lack awareness, and get minimal institutional support.

Businesses require energy efficiency for survival

Yet energy audits show that many could reduce consumption by up to 40% with low-cost interventions. This isn’t about reluctance, but structural exclusion. Energy efficiency, in this context, is not just a technical fix but a survival strategy for businesses.

With the right incentives, this sector can become a driver of Kosovo’s* green transition, creating jobs and fostering innovation.

Youth rarely invited to table

Another overlooked potential for Kosovo’s* energy transition are the youth. Over half of Kosovo’s* population is under the age of 30, yet their involvement in environmental governance remains limited. A study of youth participation in environmental and climatic concerns across ten municipalities of Kosovo* found that, while 63% of young respondents reported a strong desire to contribute to environmental policymaking, only 15% had ever participated in such processes.

Youth-led initiatives, innovation hubs, and climate advocacy networks are lacking institutional trust and real influence

This isn’t a lack of engagement; it’s again a lack of access. Youth-led initiatives, innovation hubs, and climate advocacy networks are already active, but they need to be met with institutional trust and real influence. The potential of our youth is vast – from engineers developing solar microgrids to community organizers shaping local green agendas. However, without inclusion, this potential remains untapped. We are ready to lead, but we are rarely invited to the table.

Dependence on lignite is cause of public health crisis

Advancing fundamental reforms aligned with European values is a prerequisite for sustainable development. This includes harmonizing structural reforms outlined in the Economic Reform Programmes (ERPs), strengthening the rule of law, and embedding the energy transition within the European Union’s broader green agenda. Kosovo’s* overreliance on lignite coal poses not only environmental but social risks, and the outdated mindset of living in the Kingdom of Coal clashes with the urgent need for a clean, secure, and just energy future.

Data from Riinvest Institute outlines clearly that over 90% of Kosovo’s* electricity is still produced from coal, while renewable energy accounts for less than 6%. This dependence is more than an economic liability – it is a public health crisis. Around 300,000 to 400,000 people live within 30 kilometers of lignite-fired power plants Kosovo A and Kosovo B, which lack modern emission controls.

Air pollution and outdated technology put thousands at risk every day. The urgency to diversify the energy mix isn’t only environmental – it is humanitarian. Energy, when approached with justice in mind, can become a tool for dignity and equal opportunity.

Despite a myriad of strategies and policy documents, Kosovo* has made only partial progress in aligning with EU energy and environmental standards. The Energy Community Annual Implementation Report (2024) shows that implementation across clusters such as decarbonization and energy security ranges from just 40% to 66%. True transformation demands more than technical upgrades as it requires institutional coordination, transparency, and strong evidence-based policymaking.

We are transitioning lives

In a recent conversation, a national energy expert put it simply: “We are not just transitioning technologies. We are transitioning lives.” A just energy transition must therefore encompass more than grid modernization or solar farms. It requires tailored policies – legislation that removes bureaucratic bottlenecks, the rollout of incentives for low-income households to adopt renewables, and clear pathways for communities to become prosumers.

Kosovo’s* policy frameworks, such as the forthcoming National Energy and Climate Plan and the renewable energy law, must be instruments of real transformation – practical, inclusive, and focused on impact.

Permitting procedures for renewables need to be simplified

To catalyze a just energy transition, the country requires comprehensive investments across its energy infrastructure while ensuring that reforms are socially inclusive and environmentally sound. This begins with diversifying the energy mix by prioritizing renewables – particularly solar and wind – through competitive auctions and de-risked investment environments that attract private sector participation. Kosovo* must simplify permitting procedures, build institutional expertise, and enhance the grid’s technical capacity to absorb renewable inputs.

Alongside infrastructure upgrades, investments are needed in energy efficiency for public and private buildings, especially given the country’s high winter heating demand and grid losses. Carbon-free heating solutions and retrofitting programs can help reduce both emissions and energy poverty, especially among vulnerable groups.

Subsidies must be designed for low-income households

Financing this transformation requires a blended approach – mobilizing domestic resources, securing grants from the EU and the United States, and leveraging international financial institutions through loans with state guarantees. But energy justice is not only about technology or money, it is about who benefits. Subsidies and support schemes must be designed for low-income households to participate in renewable adoption as consumers and prosumers.

A just transition brings inclusive growth and long-term climate resilience

Moreover, Kosovo* must link its investment strategies to broader social objectives, like upskilling labor for green jobs, protecting coal-reliant communities, and embedding equity and participation in every step of reform.

Kosovo* needs to make use of its strengths, and supports its young population, smaller enterprises and low-income households. Without an integrated approach, it risks reinforcing existing inequalities, but if it creates an energy transition that is just for the people, the country can turn its transition into a platform for inclusive growth, and long-term climate change resilience.

Tringe Shkodra Just Transition Young Voices Awards

* This designation is without prejudice to positions onstatus and is in line with UNSCR 1244/99 and the ICJ Opinion on the Kosovo declaration of independence.
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Renewables account for 99% of Turkey’s net electricity capacity additions

Electricity capacity in Turkey reached 122 GW in 2025, of which 62% was from renewable sources, according to the SHURA Energy Transition Center. Photovoltaics grew by 4.9 GW, compared to 1.7 GW in the wind power segment. Renewables made up 99% of the net additions, amounting to 6.3 GW, the think tank calculated. This year, however, the first unit of the Akkuyu nuclear power plant is scheduled to come online, adding 1.2 GW.

Gross electricity production in Turkey increased 2% last year, to 360 TWh, the SHURA Energy Transition Center estimated in a new report. The share of renewables dropped to 44.1% from 46%. Namely, hydropower output is on a downward trajectory, due to droughts. Wind, solar and geothermal power rallied to 24.6%, though. Photovoltaics and wind power together surpassed 20%.

Renewables continue to dominate the sector’s development, accounting for 99% of the overall 6.3 GW in net additions, the think tank calculated. The total reached 122 GW. Renewable sources made up 62%, compared to 59.7% in 2024.

Solar power surged by 4.9 GW and the wind power capacity jumped by 1.7 GW, while the natural gas item declined by 684 MW.

Importantly, the picture is about to change, as the first, 1.2 GW reactor in Akkuyu, Turkey’s first nuclear power plant, is scheduled to be commissioned this year. Coal plant projects remain dormant and uncertain.

Race to 2035 targets

Daily power consumption reached an all-time high of 1,244 GWh on July 29. SHURA attributed the record to cooling demand caused by rising temperatures.

To reach the 2035 targets, an average of 8 GW of combined solar and wind capacity must be commissioned each year. The high momentum is expected to continue in 2026, the report reads. The government aims to hit 120 GW altogether from the two technologies, against the current 40 GW.

However, grid constraints for self-consumption units (formally, unlicensed power plants) may slow solar energy growth, the authors warned. The plan is to resolve the issue through capacity allocations for the segment. The increasing prevalence of renewable and hybrid power plants with storage will enhance system flexibility, SHURA added.

Electricity decarbonization plan costs USD 15 billion per year

Just transition plans for coal regions are critical, the think tank said. It estimated that decarbonizing the electricity sector by 2053 would require an average annual investment of USD 15 billion.

Decisions regarding fossil fuels made for security of supply reasons must be more carefully balanced with the net zero target, SHURA stressed. Temporary solutions risk creating a permanent deadlock, it underscored.

Focus switching to grid, flexibility

Turkey has reached a critical juncture in its energy transformation, according to the update. The authors commended the rise in capacity and new tenders and investments. Nevertheless, they claim the pace cannot be sustained without strengthening the grid, flexibility and implementation capacity, while implying expansion in storage, electrification and financing.

In the view of SHURA’s Steering Committee Chair Selahattin Hakman, energy transition should no longer be considered solely as a topic of climate policy, but rather in conjunction with geopolitical developments, security and economic resilience. Clean energy investments, particularly in solar and wind power, continue to grow despite increasing global uncertainties, he noted.

“In this new era, energy transition is defined at the intersection of geopolitical independence, economic resilience and social justice. Energy policies have transcended the boundaries of the environment and have become central to foreign policy, industrial strategy and trade policies,” Hakman stated.

by in News

Bulgaria to host renewable electricity plants on Luxembourg’s behalf

Bulgaria joined Finland as a host country for the 2026 call through the EU Renewable Energy Financing Mechanism (RENEWFM). Luxembourg intends to fund renewable energy projects there, which will enable it to statistically attribute 80% of output to itself.

In the European Union, a member state that missed its renewable energy target can arrange a so-called statistical transfer, for a fee, from a fellow country that surpassed its own target. Another way is to fund power plant projects in another member state, via the EU Renewable Energy Financing Mechanism (RENEWFM).

In the first round, Finland agreed to host seven solar parks on behalf of Luxembourg. The grants amounted to EUR 27.5 million. Next time, also for Luxembourg, it got seven photovoltaic projects and Estonia got two for wind power. The beneficiaries won EUR 52 million in total.

This year, Bulgaria decided to participate with Finland, again on behalf of Luxembourg. Conveniently, the plan is for photovoltaic plants with battery storage in the country’s coal regions in transition: Pernik, Kyustendil and Stara Zagora. The investments are aimed at ensuring long-term employment and energy security. They complement the so-called territorial just transition plans (TJTPs) for a smooth coal phaseout.

The budget for the forthcoming round amounts to EUR 55 million

Bulgaria applied through the call that the European Commission’s Directorate-General for Energy (DG Ener) published. The overall budget is EUR 55 million.

The facilities must operate for at least 15 years. Bulgaria provides land instead of Luxembourg, which gets 80% of the green energy certificates from production.

As for Finland, solar farms are planned again, for the upcoming round.

The European Climate, Infrastructure and Environment Executive Agency (CINEA) is responsible for conducting the calls and monitoring project implementation.

by in News

Kosovo’s* just energy transition: greening the Kingdom of Coal

Author: Tringë Shkodra

Kosovo’s* energy transition has great potential but key players such as small and medium-sized enterprises (SMEs) and young people are facing structural exclusion.

Our energy system is still heavily dependent on dirty fossil fuels and overburdened by frequent outages, reliance on imports, and growing costs, particularly during the winter when demand is at its highest and most households and businesses can no longer afford to pay energy bills. While infrastructure upgrades are essential, they are not enough. In order to succeed, this transition must be just, meaning it needs to be inclusive and rooted in the lived experiences of the people it aims to serve.

Understanding Kosovo’s* distinct socio-economic landscape, with the country having the youngest population in Europe as well as a large number of SMEs, is essential for addressing its development challenges and unlocking its potential.

SMEs form the backbone of the Kosovan* economy but get structurally excluded from accessing energy-saving practices. Many studies shed light on energy efficiency within Kosovo’s* private sector – particularly among SMEs, and show that these businesses face serious barriers to adopting sustainable practices. While larger firms are more likely to invest in energy-saving technologies, SMEs struggle with access to finance, lack awareness, and get minimal institutional support.

Businesses require energy efficiency for survival

Yet energy audits show that many could reduce consumption by up to 40% with low-cost interventions. This isn’t about reluctance, but structural exclusion. Energy efficiency, in this context, is not just a technical fix but a survival strategy for businesses.

With the right incentives, this sector can become a driver of Kosovo’s* green transition, creating jobs and fostering innovation.

Youth rarely invited to table

Another overlooked potential for Kosovo’s* energy transition are the youth. Over half of Kosovo’s* population is under the age of 30, yet their involvement in environmental governance remains limited. A study of youth participation in environmental and climatic concerns across ten municipalities of Kosovo* found that, while 63% of young respondents reported a strong desire to contribute to environmental policymaking, only 15% had ever participated in such processes.

Youth-led initiatives, innovation hubs, and climate advocacy networks are lacking institutional trust and real influence

This isn’t a lack of engagement; it’s again a lack of access. Youth-led initiatives, innovation hubs, and climate advocacy networks are already active, but they need to be met with institutional trust and real influence. The potential of our youth is vast – from engineers developing solar microgrids to community organizers shaping local green agendas. However, without inclusion, this potential remains untapped. We are ready to lead, but we are rarely invited to the table.

Dependence on lignite is cause of public health crisis

Advancing fundamental reforms aligned with European values is a prerequisite for sustainable development. This includes harmonizing structural reforms outlined in the Economic Reform Programmes (ERPs), strengthening the rule of law, and embedding the energy transition within the European Union’s broader green agenda. Kosovo’s* overreliance on lignite coal poses not only environmental but social risks, and the outdated mindset of living in the Kingdom of Coal clashes with the urgent need for a clean, secure, and just energy future.

Data from Riinvest Institute outlines clearly that over 90% of Kosovo’s* electricity is still produced from coal, while renewable energy accounts for less than 6%. This dependence is more than an economic liability – it is a public health crisis. Around 300,000 to 400,000 people live within 30 kilometers of lignite-fired power plants Kosovo A and Kosovo B, which lack modern emission controls.

Air pollution and outdated technology put thousands at risk every day. The urgency to diversify the energy mix isn’t only environmental – it is humanitarian. Energy, when approached with justice in mind, can become a tool for dignity and equal opportunity.

Despite a myriad of strategies and policy documents, Kosovo* has made only partial progress in aligning with EU energy and environmental standards. The Energy Community Annual Implementation Report (2024) shows that implementation across clusters such as decarbonization and energy security ranges from just 40% to 66%. True transformation demands more than technical upgrades as it requires institutional coordination, transparency, and strong evidence-based policymaking.

We are transitioning lives

In a recent conversation, a national energy expert put it simply: “We are not just transitioning technologies. We are transitioning lives.” A just energy transition must therefore encompass more than grid modernization or solar farms. It requires tailored policies – legislation that removes bureaucratic bottlenecks, the rollout of incentives for low-income households to adopt renewables, and clear pathways for communities to become prosumers.

Kosovo’s* policy frameworks, such as the forthcoming National Energy and Climate Plan and the renewable energy law, must be instruments of real transformation – practical, inclusive, and focused on impact.

Permitting procedures for renewables need to be simplified

To catalyze a just energy transition, the country requires comprehensive investments across its energy infrastructure while ensuring that reforms are socially inclusive and environmentally sound. This begins with diversifying the energy mix by prioritizing renewables – particularly solar and wind – through competitive auctions and de-risked investment environments that attract private sector participation. Kosovo* must simplify permitting procedures, build institutional expertise, and enhance the grid’s technical capacity to absorb renewable inputs.

Alongside infrastructure upgrades, investments are needed in energy efficiency for public and private buildings, especially given the country’s high winter heating demand and grid losses. Carbon-free heating solutions and retrofitting programs can help reduce both emissions and energy poverty, especially among vulnerable groups.

Subsidies must be designed for low-income households

Financing this transformation requires a blended approach – mobilizing domestic resources, securing grants from the EU and the United States, and leveraging international financial institutions through loans with state guarantees. But energy justice is not only about technology or money, it is about who benefits. Subsidies and support schemes must be designed for low-income households to participate in renewable adoption as consumers and prosumers.

A just transition brings inclusive growth and long-term climate resilience

Moreover, Kosovo* must link its investment strategies to broader social objectives, like upskilling labor for green jobs, protecting coal-reliant communities, and embedding equity and participation in every step of reform.

Kosovo* needs to make use of its strengths, and supports its young population, smaller enterprises and low-income households. Without an integrated approach, it risks reinforcing existing inequalities, but if it creates an energy transition that is just for the people, the country can turn its transition into a platform for inclusive growth, and long-term climate change resilience.

Tringe Shkodra Just Transition Young Voices Awards

* This designation is without prejudice to positions onstatus and is in line with UNSCR 1244/99 and the ICJ Opinion on the Kosovo declaration of independence.
by in News

Voice from beyond the centre

Balkan Green Energy News, the media partner of the 2025 Just Transition Young Voices Awards, is publishing the three winning articles. The Energy Community Secretariat organized the contest in collaboration with Bankwatch, CAN Europe, the CLEW Network, and the Regional Youth Cooperation Office. The aim is to promote young adults set to shape the climate, energy, and social landscape in the years ahead in the Energy Community region. 

Author: Ani Gogokhia

It is the summer of 2045  – unusually hot compared to previous years – but the unbearable heat is not the only problem. I wake up in my small apartment in western Georgia, open the window, and immediately see clouds of exhaust fumes. For me, this is just another part of everyday life.

After a quick breakfast, I step outside for a short walk to wake myself up. The buildings in the city are the only things that remain unchanged. The number of people on the streets is declining. I feel lonely – most of my peers have either moved to the capital, Tbilisi, or left for European countries.

Thinking of them inevitably leads me to reflect on my own career path. Unfortunately, I haven’t had the opportunity to make a meaningful impact in my region.

Not much choice for young woman

With those thoughts weighing on me, I walk quickly to my first job. I call it my first job because I’ll head to another one later in the afternoon. The commute is long, and public transport only slows me down – so I walk. As I pass the local market, I see vendors, most of them women, standing in the scorching sun.

My job is house cleaning. The pay is just enough to cover groceries and utility bills, but with the cost of living rising daily, I rush to a second cleaning job in the afternoon. Floors, windows, walls – it’s all the same. If you wonder why I chose this line of work, the answer is simple: there wasn’t much choice, especially for a young woman.

The scenario described above could become a regular part of life if we halt progress toward a just transition and neglect it

There’s little to say about the workday. I return home as the sun begins to set, carrying groceries in both hands. As I unpack, I wait for my family. Everyone works – my mother and father in a factory, and my sister at a hospital. We gather for dinner and talk about current events: rising tensions, protests over low wages, unemployment, and deepening poverty.

But these conversations always end the same way – with my mother’s cancer. She developed the disease after years of exposure to harmful substances at the factory, yet she still can’t stop working. We simply can’t afford her treatment otherwise.

The scenario described above could become a regular part of life if we halt progress toward a just transition and neglect it. For the energy transition to be truly just, it must include rural areas, too, creating fair opportunities for people across Georgia.

A just transition refers to a series of policies that ensure fair and equal opportunities for everyone as we shift to a greener economy in the fight against climate change. It’s a process meant to align energy systems with modern, sustainable standards. Local governments play a vital role, though many factors – such as geography and ethnicity – can affect how smoothly this transition occurs.

Just transition in Georgia

Georgia is working to stay aligned with global green trends through international cooperation. Hydropower dominates its energy sector, but the country is slowly incorporating wind and solar systems. Since joining the Energy Community in 2017, Georgia has made notable strides toward harmonizing its legislation with the European Union’s energy standards.

This alignment has attracted major investments in renewable energy. Projects like the Kartli wind farm and a national roadmap for a circular economy – supported by the EU4Environment program – are steps in the right direction.

The city of Zugdidi is among the trailblazers in Georgia in the energy efficiency segment, youth engagement and environmental education

These national achievements are significant, but what about rural areas far from the capital? Each region presents unique challenges and opportunities in the just transition. In western Georgia, Zugdidi has started participating in this process. Although large-scale renewable projects remain concentrated elsewhere, the city has seen pilot initiatives in energy efficiency, youth engagement, and environmental education supported by the EU.

The rural development programs of the United Nations Development Programme (UNDP) in Zugdidi focus on inclusive economic participation, especially for youth, and promote eco-tourism and sustainable agriculture to curb outward migration. One noteworthy initiative involved using hazelnut shells to heat school greenhouses – a clever use of a crop central to local livelihoods. Educational projects and international partnerships have also helped raise awareness about the green economy, yet challenges remain.

Chiatura craves economic diversification away from mining

Take, for example, Chiatura – a mining town east of Zugdidi, known for its manganese industry since Soviet times. Chiatura’s economy has long depended on mining, with consequences such as environmental degradation, poor working conditions, and economic stagnation when mining activity declines. Without economic diversification, residents remain vulnerable and largely excluded from sustainable development benefits.

In 2024, Georgian news outlets reported: The hunger strike entered its 22nd day on July 10, involving eight miners, three of whom have sewn their mouths shut. The unrest stems from decisions to shut down underground mining operations, leaving workers desperate and uncertain about their futures.

While Zugdidi explores decentralized, eco-friendly solutions like biomass heating, Chiatura still lags in implementing alternatives – clean industries, green technologies, or renewable energy – deepening the divide between regions.

Youth massively moving to capital Tbilisi

Unfortunately, Georgia’s development remains overly centralized. Most opportunities are clustered in Tbilisi, causing a massive youth outflow from other regions into the capital.

Geographic and infrastructural limitations in rural and mountainous areas also pose serious barriers. For example, eastern Georgia has high solar radiation – perfect for photovoltaic panels – but varied terrain complicates installation. Wind energy prospects are greater in the east, as western regions are less windy.

A just transition also demands inclusive participation, especially from women. As of 2024, women make up just 28% of the global STEM (science, technology, engineering and mathematics) workforce – a glaring underrepresentation. In Georgia, the meaningful inclusion of women in the just transition remains a significant challenge. Empowering women – politically, economically, and socially – is key.

A difficult past marked by political instability and conflict has left its mark, but the more women engage in public life, the greater their chances of economic empowerment, entry into traditionally male-dominated professions and establishing decent place in economy.

What must be done

While Georgia has made substantial headway towards its climate goals, it is key for the country to create a unified national policy that addresses all regions equitably. We need robust educational campaigns, targeted support for rural areas, and most importantly, greater inclusion of women and minority groups in the just transition.

Only then can we build a fair, resilient society capable of meeting the challenges of the 21st century.

Just transition Young Voices Awards articles Ani Gogokhia
Photo: Just Transition Young Voices Awards
by in News

Renewables account for 99% of Turkey’s net electricity capacity additions

Electricity capacity in Turkey reached 122 GW in 2025, of which 62% was from renewable sources, according to the SHURA Energy Transition Center. Photovoltaics grew by 4.9 GW, compared to 1.7 GW in the wind power segment. Renewables made up 99% of the net additions, amounting to 6.3 GW, the think tank calculated. This year, however, the first unit of the Akkuyu nuclear power plant is scheduled to come online, adding 1.2 GW.

Gross electricity production in Turkey increased 2% last year, to 360 TWh, the SHURA Energy Transition Center estimated in a new report. The share of renewables dropped to 44.1% from 46%. Namely, hydropower output is on a downward trajectory, due to droughts. Wind, solar and geothermal power rallied to 24.6%, though. Photovoltaics and wind power together surpassed 20%.

Renewables continue to dominate the sector’s development, accounting for 99% of the overall 6.3 GW in net additions, the think tank calculated. The total reached 122 GW. Renewable sources made up 62%, compared to 59.7% in 2024.

Solar power surged by 4.9 GW and the wind power capacity jumped by 1.7 GW, while the natural gas item declined by 684 MW.

Importantly, the picture is about to change, as the first, 1.2 GW reactor in Akkuyu, Turkey’s first nuclear power plant, is scheduled to be commissioned this year. Coal plant projects remain dormant and uncertain.

Race to 2035 targets

Daily power consumption reached an all-time high of 1,244 GWh on July 29. SHURA attributed the record to cooling demand caused by rising temperatures.

To reach the 2035 targets, an average of 8 GW of combined solar and wind capacity must be commissioned each year. The high momentum is expected to continue in 2026, the report reads. The government aims to hit 120 GW altogether from the two technologies, against the current 40 GW.

However, grid constraints for self-consumption units (formally, unlicensed power plants) may slow solar energy growth, the authors warned. The plan is to resolve the issue through capacity allocations for the segment. The increasing prevalence of renewable and hybrid power plants with storage will enhance system flexibility, SHURA added.

Electricity decarbonization plan costs USD 15 billion per year

Just transition plans for coal regions are critical, the think tank said. It estimated that decarbonizing the electricity sector by 2053 would require an average annual investment of USD 15 billion.

Decisions regarding fossil fuels made for security of supply reasons must be more carefully balanced with the net zero target, SHURA stressed. Temporary solutions risk creating a permanent deadlock, it underscored.

Focus switching to grid, flexibility

Turkey has reached a critical juncture in its energy transformation, according to the update. The authors commended the rise in capacity and new tenders and investments. Nevertheless, they claim the pace cannot be sustained without strengthening the grid, flexibility and implementation capacity, while implying expansion in storage, electrification and financing.

In the view of SHURA’s Steering Committee Chair Selahattin Hakman, energy transition should no longer be considered solely as a topic of climate policy, but rather in conjunction with geopolitical developments, security and economic resilience. Clean energy investments, particularly in solar and wind power, continue to grow despite increasing global uncertainties, he noted.

“In this new era, energy transition is defined at the intersection of geopolitical independence, economic resilience and social justice. Energy policies have transcended the boundaries of the environment and have become central to foreign policy, industrial strategy and trade policies,” Hakman stated.

by in News

Bulgaria to host renewable electricity plants on Luxembourg’s behalf

Bulgaria joined Finland as a host country for the 2026 call through the EU Renewable Energy Financing Mechanism (RENEWFM). Luxembourg intends to fund renewable energy projects there, which will enable it to statistically attribute 80% of output to itself.

In the European Union, a member state that missed its renewable energy target can arrange a so-called statistical transfer, for a fee, from a fellow country that surpassed its own target. Another way is to fund power plant projects in another member state, via the EU Renewable Energy Financing Mechanism (RENEWFM).

In the first round, Finland agreed to host seven solar parks on behalf of Luxembourg. The grants amounted to EUR 27.5 million. Next time, also for Luxembourg, it got seven photovoltaic projects and Estonia got two for wind power. The beneficiaries won EUR 52 million in total.

This year, Bulgaria decided to participate with Finland, again on behalf of Luxembourg. Conveniently, the plan is for photovoltaic plants with battery storage in the country’s coal regions in transition: Pernik, Kyustendil and Stara Zagora. The investments are aimed at ensuring long-term employment and energy security. They complement the so-called territorial just transition plans (TJTPs) for a smooth coal phaseout.

The budget for the forthcoming round amounts to EUR 55 million

Bulgaria applied through the call that the European Commission’s Directorate-General for Energy (DG Ener) published. The overall budget is EUR 55 million.

The facilities must operate for at least 15 years. Bulgaria provides land instead of Luxembourg, which gets 80% of the green energy certificates from production.

As for Finland, solar farms are planned again, for the upcoming round.

The European Climate, Infrastructure and Environment Executive Agency (CINEA) is responsible for conducting the calls and monitoring project implementation.

by in News

OMV Petrom, CE Oltenia building solar parks of 550 MW in total

Coal land of Romanian state-owned CE Oltenia is undergoing transformation with the beginning of construction of four photovoltaic plants. The projects, which the company is conducting with OMV Petrom, are for 550 MW in combined capacity. In a separate partnership, with Tinmar Energy, 280 MW more is in development.

Almost four years after the European Union approved the grants from the Modernisation Fund and the start of negotiations between Complexul Energetic Oltenia (CE Oltenia) and OMV Petrom about a partnership, their four solar power projects of 550 MW in total peak capacity reached the construction phase. They would cover the equivalent of an estimated 410,000 Romanian households’ annual consumption, the update adds.

The largest integrated energy company in Southeastern Europe and Romania’s main coal power producer are building the photovoltaic systems in Ișalnița, Tismana, and Rovinari in the coal region in the counties of Dolj and Gorj. CE Oltenia and OMV Petrom expect the facilities to become operational next year.

OMV Petrom, CE Oltenia partnership receives first tranche of EU funding

Total investment is over EUR 400 million, with 70% financed through the Modernisation Fund. There are four joint ventures, in which the partners hold 50% each. Just this month, they received the first EUR 16 million, the announcement reveals.

The locations are on CE Oltenia’s coal land. They are aimed at partly substituting the power plants there, as Romania is heading for a coal exit by 2032.

“Through these projects, OMV Petrom reaffirms its commitment to a low-carbon energy future, contributing to Romania’s and the EU’s climate objectives. We are transforming a region with a long-standing tradition in coal-based energy into a renewable energy hub,” said Franck Neel, member of OMV Petrom’s Executive Board responsible for Gas and Power.

Ameresco and Sunel won three contracts together, and Turkey-based Girişim is in charge of the fourth one

Following tenders, contractors for the design and execution were picked in April. The consortium of United States–based Ameresco and Sunel is tasked with the projects Rovinari Est, Tismana 1, and Tismana 2. The latter company is registered in the United Kingdom, but its operational headquarters are in Athens, Greece. The capacity amounts to 460 MW.

Turkish company Girişim Elektrik is in charge of the fourth endeavor. The site is a slag deposit at the CE Ișalnița coal-fired power plant. Per earlier documentation, the contractors will operate the solar power systems for three years and transfer them to the owners.

Coal miners becoming PV installers

OMV Petrom said it is supporting the RenewAcad program in the nearby city of Târgu Jiu, where CE Oltenia is seated.

In the past two years, over 200 mining technicians have been retrained as photovoltaic system installers. The initiative is part of a broader effort. It involved training over 10,000 professionals for Romania’s energy transition, the company added.

Another 280 MW of solar power is in pipeline

CE Oltenia, also known as CEO, runs another four PV projects totaling 280 MW in planned peak capacity with its partner Tinmar Energy. They received 13 bids and the procedure is ongoing.

The partnership model is the same, and so is the share of investment that the Modernisation Fund covers. The locations are slag and ash deposits at coal plants Rovinari and Turceni, and external dumps Pinoasa and Bohorelu.

The fifth partnership between CE Oltenia and Tinmar is for a CCGT (combined-cycle gas turbine) power plant of 475 MW in Turceni. It is suffering heavy delays. The Modernisation Fund has approved a grant for 50% of the investment.

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Greece’s first municipal energy community to be launched in its coal capital Kozani

The city of Kozani in northern Greece, home of the country’s dwindling lignite industry, is seeking a contractor for seven photovoltaic systems of 7 MW overall. The municipality said the power plants would supply its buildings, public lighting, pumps and drilling rigs as part of the country’s first energy community led by a local authority. Under a virtual net metering scheme, the facilities are also intended for combating energy poverty.

Energy communities are present all over Greece, but private capital is dominant – instead of individuals, local institutions and small firms. The concept can be especially beneficial for local authorities in coal regions, which are undergoing rapid decarbonization and turning toward cutting-edge technologies.

Job losses and a lack of skills jeopardize communities in such areas. The Municipality of Kozani, the capital of Greece’s coal land, the region of Western Macedonia, is one of them. It was among the first in the country that launched initiatives for energy communities led by local authorities.

Deadline for applications is January 12

Kozani has opened a tender for the selection of a contractor that would build seven photovoltaic plants. The municipal solar power units would operate under a virtual net metering scheme.

It would enable supplying municipal buildings, street lighting, schools, sports facilities, pumps and drilling rigs, but also the means to fight against energy poverty. The municipality received funding via the European Union for the project, under a just development and transition program.

The city claimed that it would be the country’s first energy community of its kind. Prospective candidates can apply by January 12, and the selection is scheduled for January 16. The budget amounts to EUR 6.25 million including value-added tax, and the local authority participates with 20%.

Kozani already invested EUR 650,000 in its energy community

The project is placing the Municipality of Kozani in the lead in energy self-sufficiency and autonomy in the country, Mayor Yiannis Kokkaliaris said.

He revealed that the local authority managed to secure grid connection terms in time not to lose the EUR 650,000 that it spent so far for the purpose.

The Kozani area is already hosting some of Greece’s largest photovoltaic plants and projects. It is envisaged for one of six waste incinerators in the country. Government-controlled Public Power Corp. (PPC Group) plans to build pumped storage hydropower plants on its depleted open pit coal mines in the region.

Of note, Greece recently lost EUR 100 million from the European Union’s Recovery and Resilience Facility (RRF) for the Apollo program. It was aimed for self-consumption for vulnerable households through forming an energy community.

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Serbia rolls out taxes on greenhouse gas emissions, imported carbon-intensive products

The Serbian Law on Greenhouse Gas Emissions Tax and Law on Carbon-Intensive Product Imports Tax, both at EUR 4 per ton of CO2 equivalent, are coming into effect on January 1. It is the country’s answer to and equivalent of, respectively, the European Union’s Carbon Border Adjustment Mechanism (CBAM). Notably, several bylaws are still required for the new legislation to be enforced.

The National Assembly of Serbia passed the Law on Greenhouse Gas Emissions Tax and Law on Carbon-Intensive Product Imports Tax today, without accepting any of the opposition’s proposals for changes in the two bills.

On January 1, importers of electricity, cement, iron and steel, aluminum, hydrogen and fertilizers to the European Union will start paying the CBAM carbon dioxide tax. If the country of origin also has a CO2 pricing system and the EU recognizes it, the sum will be deducted from CBAM.

The domestic greenhouse gas emissions tax is Serbia’s answer to the cross-border levy, while with the new import tax it is establishing a corresponding mechanism. Both are EUR 4 per ton of CO2 equivalent, covering also nitrous oxide (N2O) and perfluorocarbons (PFCs).

They are intended to lower pollution, improve energy efficiency, incentivize the deployment of renewable energy and secure a more equal position for the Serbian industry in the domestic and international markets, according to the sidenotes.

Both laws to enter into force on January 1, when EU also starts charging CBAM

The first of the two taxes is for big industrial emitters in the sectors of cement, fertilizers, iron and steel, aluminum and electricity. Both laws are coming into effect on January 1, just like the CBAM charge. However, several bylaws are still required for Serbia to enforce the new legislation.

The CBAM tax is envisaged to rise every year until in 2034 it becomes equal as the prices of greenhouse gas emission certificates in the EU’s Emissions Trading System (EU ETS). Electricity is different, as the amount will from the start correspond to the carbon intensity of the country of origin’s entire production mix.

According to Special Advisor at Serbia’s Economics Institute Ljubo Maćić, charging CBAM will prevent power market coupling between Serbia, other Energy Community contracting parties and the European Union, and discourage investment in renewables.

Of note, the administration in Brussels plans to expand the mechanism to other segments that EU ETS covers.

No electricity in carbon imports tax

The Law on Carbon-Intensive Product Imports Tax doesn’t cover electricity because of technical limitations and a lack of a precise taxing methodology.

The tax on imported carbon-intensive products covers only the entities that import five or more tons of the designated products per year

Importers are taxed based on emissions embedded in the production of the goods from abroad, but they will be able to use tax credits if an emissions levy has already been paid in the country of origin, similar to the EU system. The obligation is only for companies importing five or more tons of designated products per year.

Serbia imports an estimated 3.5 million tons of carbon-intensive products per year.

CO2 tax scope limited to larger producers

The CO2 tax law will be applied to firms obligated to have a license for emissions from their plants. Mostly they are large and medium-sized companies. Fifty companies have obtained such licenses for 92 facilities. They measure emissions data, in line with the Law on Climate Change, and send them to the Ministry of Environmental Protection.

The production of synthetic fertilizers and nitrogen compounds, cement, pig iron, steel and ferroalloys, aluminum and electricity accounts for over 57% of emissions in Serbia and more than 90% within the national monitoring and reporting system.

Tax deductions for large electricity producers that invest in decarbonization

A payer of the greenhouse emissions tax that predominantly generates electricity, accounting for at least 80% of its income in the previous annual tax period, is eligible for a tax credit amounting to 20% of the sum that it invested in decarbonization measures, the law stipulated.

The deduction can’t exceed 80% of the due tax. The government determines the said measures.

The greenhouse gas emissions tax envisages incentives for the taxpayers to finance green projects, the just transition and protection of vulnerable households

In addition, entities that pay the tax are eligible for incentives, from the state budget, for financing climate and energy transformation through investing in renewables and energy efficiency, innovative low-carbon technologies, decarbonization of industrial production, green construction and support to the just transition and protection of vulnerable households.

Proceeds from the tax “can be invested in green transition projects,” the sidenote reads, while there is still no dedicated decarbonization fund.