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Clean energy, grid upgrade projects in Western Balkans to be backed under EU’s Growth Plan

The European Commission has proposed the first support package, of EUR 87.7 million, under the European Union’s Growth Plan for the Western Balkans, to help implement EUR 487.3 million worth of hydropower, solar district heating, and grid modernization projects in Albania, Montenegro, and Serbia. The package was announced following a high-level meeting between European Commissioner for Enlargement Marta Kos and Western Balkan partners in North Macedonia’s capital, Skopje.

The package, funded from the EUR 6 billion Reform and Growth Facility (RGF), set up under the Growth Plan, will be rolled out through the Western Balkans Investment Framework (WBIF). The proposal was made to the WBIF Operational Board, according to a press release from the commission.

The eight proposed projects include building a new generation unit and upgrading existing ones at Serbia’s Potpeć hydropower plant, which would increase its annual production to 236 GWh while reducing CO2 emissions. The investment is valued at EUR 72.1 million, with the RGF support amounting to EUR 15.8 million. The project is targeted for completion in 2030, according to the commission’s fact sheet.

Serbia could get support for introducing solar energy in district heating

The other project in Serbia is the construction of a 31 MW solar-thermal plant and 17 MW heat pump in Novi Sad, which will introduce renewable energy sources to the district heating system. The project would cost a total of EUR 114.3 million, with the RGF support at EUR 25 million. The targeted completion date is 2028.

In Montenegro, the package would support three projects. The first is an EUR 18.3 million investment in building a 38-kilometer 110kV overhead transmission line between Vilusi and Herceg Novi, aimed at increasing transmission capacity and reducing energy losses. It would receive EUR 3.1 million from the RGF.

The EU plans to back Montenegro’s SCADA roll-out

The second project in Montenegro is the introduction of SCADA in the power distribution system, estimated at EUR 26.5 million, with the proposed RGF support of EUR 5 million. The third one is a planned upgrade of the Brezna substation on the Trans-Balkan Electricity Corridor. The EUR 35.6 million investment would be backed with EUR 6.3 million from the RGF.

Albania plans to digitalize its transmission network in EUR 64.2 million project

The support package also includes Albania’s EUR 95.3 million investment in upgrading the Fierza hydropower plant, aimed at increasing its capacity by 10% and extending its lifespan by at least 30 years. The support from the RGF would amount to EUR 10.5 million. The other project to be supported in Albania is the EUR 64.2 million digitalization of the transmission network, which would receive 13.6 million from the RGF.

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Montenegrin power utility to borrow EUR 25.6 million for phase 2 of Gvozd wind farm

Montenegro’s state-owned power utility Elektroprivreda Crne Gore (EPCG) plans to take out a EUR 25.6 million loan from the European Bank for Reconstruction and Development (EBRD) to finance the second phase of the Gvozd wind farm project, with an installed capacity of 21 MW. The first phase of wind farm Gvozd, which is under construction, will have a capacity of 54.6 MW.

Announcing its request for government consent, EPCG stated that the capacity increase through the second phase of Gvozd would improve the security of electricity supply, increase the share of renewable energy in the country’s energy mix, and help Montenegro meet its international climate policy commitments.

EPCG previously announced that it expected the start of construction of the Gvozd 2 wind farm in early 2026.

The new document also states that EPCG has submitted a viability assessment of the Gvozd 1 and Gvozd 2 projects, prepared by German consultancy Fichtner GmbH & Co. KG for the purpose of securing financing from the EBRD.

The first phase of wind farm Gvozd will cost EUR 82 million

The first phase of the Gvozd wind farm, with eight turbines, is financed by an EUR 82 million loan from the EBRD. The groundbreaking ceremony was held in November 2024, and EPCG expects the power plant to enter trial operation by the end of this year. Its planned annual electricity output is 150 GWh.

A contract for the design, procurement, supply, and installation of equipment, as well as the commissioning and long-term maintenance of the future wind power plant, was signed with German company Nordex. EPCG said at the time that wind farm Gvozd would be its first large-scale power generation facility built in more than 40 years.

SCADA and ADMS will be introduced through a EUR 35 million project

In the announcement, EPCG also says it signed an agreement with the EBRD in January on financing a project to introduce the SCADA and ADMS systems into Montenegro’s power system. The implementation of SCADA (supervisory control and data acquisition) and ADMS (advanced distribution management system) is a key step towards modernizing the electricity distribution network, the document states.

SCADA enables remote control, monitoring, and automation of electricity distribution, while ADMS supports the integration of renewable energy sources. Together, these systems significantly improve the reliability, efficiency, and security of the power system, EPCG explains.

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ScadaWatt seeks partners in Serbia to deploy its energy digitalization systems

Electronic equipment and software company ScadaWatt, which currently manages a portfolio of 800 MW of solar power plants worldwide, is looking for partners in Serbia to deploy its energy digitalization systems. ScadaWatt, a bronze sponsor of the Belgrade Energy Forum 2025, provides remote monitoring and control systems for solar power plants.

“We are here to make new collaborations in digital transformation in the energy sector and to build new partnerships,” said Esma Şahin, ScadaWatt’s representative at BEF 2025.

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“In Serbia, we are currently launching a local service with multilingual support, and we offer fast, reliable technical support with our local service team,” she stated on the sidelines of the conference.

Around 800 MW of solar power plants worldwide are currently managed completely by ScadaWatt’s management and monitoring systems, according to Şahin.

ScadaWatt’s systems are monitoring 800 MW of solar power plants worldwide

The Turkish company’s flagship product is ScadaWatt solar power plant monitoring automation, which represents the culmination of extensive experience gained in the solar energy sector. The company’s products enable users to simultaneously compare data from sensors such as inverters, energy analyzers, and electric meters, according to its website.

ScadaWatt designs and manufactures energy efficiency solutions, including SCADA (supervisory control and data acquisition) devices, sensors, and protection relays.

“We provide monitoring and control systems for solar power plants. Also in our portfolio, we have meteorological sensors, protection relays, and RTU (remote terminal unit) devices,” said Şahin.

The company’s Zero Injection Module enables the dynamic proportional-integral-derivative (PID) control of inverters, measuring consumption values and adjusting electricity production to match consumption. This ensures that no energy is fed back into the grid, according to ScadaWatt’s website.

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Montenegro’s CEDIS to invest EUR 30 million in distribution grid

Montenegrin electricity distribution system operator CEDIS plans to invest EUR 30 million this year or EUR 6 million more than in 2024.

The increase in investments demonstrates greater ambitions year after year and that grid works are becoming more intensive and demanding, according to CEDIS.

The country’s distribution system operator (DSO) said it would increase capacity for the integration of new users, improve voltage conditions, strengthen reliability and security of power supply, and reduce losses.

The investments include projects planned to be started this year as well as ones already in motion, such as the modernization of six 35/10 kV substations.

CEDIS is building two substations

CEDIS pointed to several significant endeavors within the primary grid. The most significant ones are the construction of 35/10 kV substations Tivat 3 and Rijeka Crnojevića, and the modernization of the systems Buljarica-Kufin (110/35 kV) and Podgorica 7 (110/10 kV).

Seven 35/10 kV substations are up for reconstruction – Tuzi, Unač, Ptič, Andrijevica, Velika Plaža 1, Velika Plaža 2 and Čanj. The plan includes procuring new equipment for existing 35 kV transmission lines, worth about EUR 1.4 million.

The company is introducing SCADA and ADMS systems

CEDIS will use a EUR 35 million loan from the European Bank for Reconstruction and Development (EBRD) to roll out SCADA and ADMS systems, and to purchase smart meters.

The company highlighted SCADA and ADMS as a key step towards the modernization of the distribution network and the improvement of reliability, efficiency, and security of the power system.

Investments envisaged by the project Decarbonization of the Energy Sector of Montenegro, financed with a loan from the World Bank, are kicking off this year. Its subproject for increasing the operational efficiency of the power distribution grid comprises the reconstruction and modernization of substations, and improvement in the visibility of the distribution network.

EUR 5 million for energy infrastructure on Jaz-Tivat Boulevard

One of the largest investments is the installation of power infrastructure within the construction of the Jaz-Tivat Boulevard. The investment is estimated at EUR 5 million.

Projects within the secondary distribution grid are the construction of 268 substations of 10/0.4 kV, modernization of 10 kV transmission lines, and reconstruction of existing 10/0.4 kV substations. The planned works are valued at more than EUR 6 million.

CEDIS is continuing with the revitalization of the middle- and low-voltage grid. It earmarked EUR 9 million for this year for the purpose. The project is for the renewal of four 10 kV transmission lines and 52 substations of 10/0.4 kV and replacing 1,500 poles.

The installation of new meters and the relocation of measuring points will also be continued. The plan is to start phase 4 of the advanced metering management (AMM) project. The investment is estimated at EUR 12 million.

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Montenegro’s DSO CEDIS secures funds for grid digitalization

Montenegrin distribution system operator (DSO) CEDIS has secured funds for the installation of an advanced grid management system and procurement of smart meters.

The EUR 40 million package consists of a EUR 35 million loan provided by the European Bank for Reconstruction and Development (EBRD) and a EUR 5 million grant under the European Union’s Western Balkans Investment Framework (WBIF).

The funds are intended for a new supervisory control and data acquisition (SCADA) system and an advanced distribution management system (ADMS), as well as the procurement of new smart meters.

Smart meters help users and utility companies monitor and manage electricity usage more efficiently

The project is expected to reduce technical losses by 10%, decrease grid outages to approximately one sixth of the current level, allow new renewable energy sources to be integrated into the grid and enhance cyber security, according to CEDIS and EBRD.

The SCADA system will be used to monitor and control medium-voltage grid networks in real time. ADMS is an advanced platform that optimizes the management and operation of the electricity distribution system.

Smart meters help users and utility companies monitor and manage electricity usage more efficiently, reducing losses and improving reliability, the update reads.

The loan agreement was signed by the EBRD’s Head of Montenegro Remon Zakaria, CEDIS CEO Vladimir Ivanović, and Ivan Bulatović, CEO of EPCG.

Ivanović: The integration of smart meters will empower consumers to better understand and optimize their energy usage

According to Zakaria, the project represents a transformative step towards the digitalisation of the electricity distribution system in Montenegro.

Citizens will experience a more reliable electricity supply, and CEDIS will achieve substantial reductions in technical losses and gain the advanced capabilities required to swiftly detect and address technical faults, he added.

Vladimir Ivanović said SCADA and ADMS would revolutionize the way the company operates the distribution network. The integration of smart meters will empower consumers to better understand and optimize their energy usage, contributing to greater energy efficiency across the network, he stressed.

Last year Ivanović said CEDIS has reduced grid losses from 12.93% to 10.84% and that it planned to lower them below 10% by the end of December.