December 19, 2025
by in News

KEK seeks contractor for 100 MW solar power project near Prishtina

Government-controlled Kosovo Energy Corp. (KEK) launched the prequalifications call for its Solar4Kosovo photovoltaic project. The area is in the municipalities of Obiliq (Obilić) and Fushë Kosovë (Kosovo Polje), northwest of Prishtina.

After more than four years of planning the project, KEK is receiving applications for the design and construction of its first solar power plant, on a former coal ash dump. The government-owned power utility operates coal plants Kosovo A and Kosovo B, which account for some 90% of domestic electricity.

The location for the first part of the Solar4Kosovo project is in the municipalities of Obiliq (Obilić) and Fushë Kosovë (Kosovo Polje). The area, northwest of Prishtina, is in the Sitnica river valley, near Kosovo A.

The facility is planned for a grid connection of at least 100 MW. It translates to 120 MW in peak capacity, according to earlier updates. It would be the biggest PV plant in Kosovo*.

KEK is receiving prequalification bids until January 22, within the process of selecting contractors for the project. Companies apply through the exficon (exfitender) platform. Three months ago, the utility said agricultural activities on the designated land weren’t allowed anymore.

KEK obtained EUR 32 million EU grant

The financing for the Solar4Kosovo facility is part of the European Union’s Economic and Investment Plan for the Western Balkans of EUR 9 billion in grants. The package is aimed at mobilizing a total of EUR 30 billion.

The European Investment Bank is providing a EUR 33 million loan. The EU has approved a EUR 32 million grant via its Western Balkans Investment Framework (WBIF), while Germany’s KfW Development Bank is lending EUR 29 million to KEK. The investment was earlier estimated at EUR 107 million overall.

Annual output estimated at 169 GWh

The proposed solar power plant is expected to produce 169 GWh per year. It would have an underground connection to the existing substation at the Kosovo A thermal power plant.

The other part of the Solar4Kosovo project is for a solar thermal facility of 30 MW for the capital city’s district heating system. The site is in the village of Shkabaj (Orlović) in Obiliq municipality. Another segment of the investment is for a further network extension of 20 MW with supply from Kosovo B.

Post Views:39
* 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.
December 2, 2025
by in News

GGF ushers in new wave of energy transition investments in Western Balkans with eight deals

The Green for Growth Fund has signed a series of agreements on green lending and support for major solar power and energy storage projects throughout the Western Balkans. The new commitments, backed by an investment from KfW, will lift its green financing portfolio in the region by up to EUR 176 million.

At the EU–Western Balkans Investment Forum in Tirana, held in October, GGF announced the European Union’s EUR 20 million investment in its class C shares, via Germany’s KfW Development Bank. It was accompanied by a EUR 4 million donation to the climate action fund’s capacity building and advisory facility, its advisor Finance in Motion said.

The proceeds are set to mobilize more private capital for renewable energy, energy efficiency and climate resilience across the region, the update revealed.

The Green for Growth fund signed a series of agreements at the forum for green lending, and for financing solar power and battery projects in North Macedonia, Kosovo* and Albania.

Von der Leyen: The time to invest in the Western Balkans is now

The event was attended by European Commission President Ursula von der Leyen and Albanian Prime Minister Edi Rama.

“Your economies are already set to grow rapidly in the coming years. We established the Western Balkans Growth Plan for exactly that. The EU opens sectors of its economy for your business. Together, we work on reforms for a level playing field. And alongside reforms comes investment. The Western Balkans Growth Plan aims at doubling regional GDP in the next decade. So my message to investors today is straightforward: Do not let this opportunity pass by. The time to invest in the Western Balkans is now,” Von der Leyen said.

The commitments signed within a special segment of the Tirana conference are boosting the fund’s cumulative investments into the region to more than EUR 850 million. Earlier it provided over EUR 675 million overall in green finance in the Western Balkans in support of climate action, energy security and sustainable industry.

The new commitments are expected to avoid emissions of some 175,000 tons of CO2. It is equivalent to 400,000 barrels of oil not being burnt.

Trailblazing investments ahead in photovoltaics, BESS

The Green for Growth Fund intends to provide funding for one of the first grid-scale battery projects in North Macedonia and the Western Balkans.

Renalfa IPP is about to expand its 50 MW photovoltaic plant in Oslomej, on the site of a former coal mine, with a 200 MWh battery energy storage system (BESS). GGF has already provided debt financing for the solar installation, and the two sides signed a mandate letter for EUR 24 million for the BESS investment. It is one of the investments for the transformation of the REK Oslomej coal mine and power plant complex.

Renalfa IPP’s pioneering PV plant Oslomej on coal land will get a battery facility

GGF also signed a term sheet for Quant Renewables’ solar power project in Kosovo* for 142.2 MW in peak capacity. It comprises PV plants Tucep (98.5 MW) and Veriq (43.7 MW) on land previously designated for lignite mining.

The Green for Growth Fund would support it with up to EUR 12 million in preferred equity, complementing senior debt financing led by the European Bank for Reconstruction and Development (EBRD). Set to become Kosovo’s* biggest solar park, its estimated annual output would match the electricity needs of 63,000 households.

The facility would save an estimated 168,138 tons of carbon dioxide equivalent per year (22,529 tons prorated to GGF’s investment).

The third renewables project is HD Solar Park in Albania. Through a letter of intent, GGF expressed its goal to provide up to EUR 30 million in senior debt financing. Bindi, the developer, has envisaged 60 MW of peak capacity and a co-located 120 MWh battery system. It would be one of the first large-scale solar-plus-storage initiatives in the country.

Five new deals with financial institutions for as much as EUR 110 million in total

The partner financial institutions that signed agreements with the Green for Growth Fund will channel the financing to their clients for investments in renewables, sustainable mobility, and energy and resource efficiency in buildings and industrial production.

There are five new deals for as much as EUR 110 million in credit lines and subordinated loans.

Two credit lines for partners in Kosovo*

The KRK microfinance institution in Kosovo* aims to utilize a new credit line, of EUR 5 million, for efficiency refurbishments and retrofits of the residential sector as well as small-scale renewable energy. It would be its sixth investment with the Green for Growth Fund since establishing the partnership in 2017.

BpB, the first bank in Kosovo* founded with fully local capital, finances households and small and medium-sized enterprises. Building on a previous partnership, it will channel GGF’s senior credit line of EUR 5 million into energy efficiency and renewable energy.

It will particularly benefit SMEs, including clients in the agricultural sector seeking to upgrade energy systems or invest in low-carbon vehicles, efficient equipment and modern irrigation systems, the fund added.

EUR 95 million in total for Serbian lenders

The Green for Growth Fund signed a loan agreement with UniCredit Bank Serbia for a EUR 50 million senior credit line. The focus is on commercial-scale solar and wind power, helping decarbonize Serbia’s coal-dependent electricity system.

GGF expects it to become one of the fund’s most impactful investments, by avoiding 84,550 tons of emissions in CO2 equivalent terms – equivalent to taking 44,500 cars off the road. The fund has invested EUR 115 million in UniCredit Bank Serbia to decarbonize the country’s electricity system.

Another Serbian lender in the group is AikBank, eligible for a EUR 45 million subordinated loan. The deal is for financing renewables and energy efficiency projects of corporate clients.

The bank will additionally benefit from GGF’s technical assistance for technical due diligence and environmental and social assessments, for the implementation of green energy projects in line with the best practices, the partners stressed.

ProCredit Bank in BiH is eyeing solar power projects

ProCredit Bank in Bosnia and Herzegovina is getting a subordinated loan of up to EUR 5 million, following two such facilities in 2022 and last year. The Green for Growth Fund’s investment is for maintaining the partner’s capital position and supporting the expansion of its green portfolio. The bank especially sees opportunities in solar power, where there is significant potential for BiH to catch up with regional leaders.

“We thank our investors for their continued confidence. This kind of catalytic capital drives tangible impact in Southeast Europe and shows how aligning investment with ambitious climate goals accelerates the green transition,” Finance in Motion said.

Post Views:24
* 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.
November 17, 2025
by in News

Serbia’s EPS inks EUR 109.7 million deal for Vlasina HPPs revamp

Serbia’s power utility Elektroprivreda Srbije (EPS) signed a contract for the modernization of its Vlasina hydropower plants with Energotehnika – Južna Bačka.

The contract for the reconstruction and modernization of the Vlasina (Vlasinske) hydropower plants (HPPs), with a capacity of 129 MW, was signed by Dušan Živković (sitting first from right), Chief Executive Officer of Elektroprivreda Srbije (EPS), and representatives of Energotehnika Južna Bačka – Marko Iskrin (second from left), Executive Director for Technical Affairs, and Nikola Labus (first from left), Deputy Executive Director for Financial Affairs.

Of note, in mid-July, Hungarian state-owned energy company MVM became the majority owner of Energotehnika – Južna Bačka.

The total value of the project is estimated at EUR 109.7 million. It envisages the reconstruction and modernization of generation units, auxiliary systems, and hydromechanical equipment. The main equipment suppliers are Andritz Hydro and Gamesa Electric, EPS said.

Financing has been secured through a EUR 67 million loan from the European Bank for Reconstruction and Development (EBRD), a EUR 15.4 million grant from the European Union via the Western Balkans Investment Framework (WBIF), and EPS’s own funds in the amount of EUR 27.2 million.

The capacity of the Vlasina HPPs would be increased by 8 MW

“On the day when the Vlasina HPPs celebrate their 70th anniversary, we officially start the project of their modernization. The result would be an increase in the installed capacity by 8 MW and reliable operation for the next three to four decades,” Dušan Živković underlined.

He recalled that the Vlasina HPPs are unique plants in the EPS portfolio. They operate in a cascade system, generating electricity four times one after the other and representing a significant source of peak energy.

The Vlasina HPPs began operating in 1955

According to Milan Aleksić (second from left in back row), advisor to the Minister of Mining and Energy for capital projects, investments are key to securing an electricity supply amid growing demand and the need to rely more on renewable energy sources.

Vlasina started its operations on November 6, 1955, with the commissioning of the first unit at the Vrla 1 hydropower plant.

The system consists of the Vlasina lake – reservoir, four cascade run-of-river hydropower plants, and the Lisina pumping station with the Lisina reservoir. Since the start of operation, the plants have produced more than 17 million GWh.

The signing was also attended by Francesco Corbo (first from left in back row), Regional Head of Energy for the Western Balkans and Croatia at the European Bank for Reconstruction and Development (EBRD).

Photo: EPS/Nenad Kostić
Post Views:98
September 16, 2025
by in News

Coal plant operator KEK to begin construction of Solar4Kosovo PV plant

Government-controlled Kosovo Energy Corp. (KEK) said it is preparing to start building its Solar4Kosovo 1 photovoltaic plant near Prishtina. It informed the local community that agricultural and other activities weren’t allowed anymore on the designated land.

After four years of planning. a former coal ash dump is about to be turned into the biggest solar power plant in Kosovo*. KEK is running the Solar4Kosovo 1 project at a site near its Kosovo A power plant near Prishtina.

The area is in the municipalities of Obiliq (Obilić) and Fushë Kosovë (Kosovo Polje). The government-owned power utility said it is preparing to begin construction works. The project is for 100 MW in connection capacity, translating to 120 MW in peak capacity.

The update mainly affects residents of Dardhishtë and Mërlak in Kryshevc (Kruševac) in Obiliq municipality. Agricultural and other activities aren’t allowed anymore, the company announced. It explained that so far it tolerated the use of its property there by the local community.

KEK obtained EUR 32 million EU grant

The financing for the Solar4Kosovo facility is part of the European Union’s Economic and Investment Plan for the Western Balkans of EUR 9 billion in grants. The package is aimed at mobilizing a total of EUR 30 billion.

The European Investment Bank is providing a EUR 33 million loan. The EU has approved a EUR 32 million grant via its Western Balkans Investment Framework (WBIF), while Germany’s KfW Development Bank is lending EUR 29 million to KEK. The investment was earlier estimated at EUR 107 million overall.

Annual output estimated at 169 GWh

The proposed solar power plant is expected to produce 169 GWh per year. It would have an underground connection to the existing substation at the Kosovo A thermal power plant.

Notably, Kosovo* is dependent on the obsolete Kosovo A and Kosovo B coal plants for almost all its electricity.

The other part of the Solar4Kosovo project is for a solar thermal facility for the capital city’s district heating system. The site is in the village of Shkabaj (Orlović) in Obiliq municipality. The investment includes a 20 MW network extension.

Post Views:37
* 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.
July 4, 2025
by in News

Serbia, North Macedonia working on gas interconnector project

Serbia’s state gas company Srbijagas and North Macedonia’s gas transmission system operator Nomagas signed a memorandum of understanding expressing their intention to soon build a gas interconnector between the two countries. Srbijagas is also expected to present a plan for a gas interconnection with Romania.

The memorandum, signed by Srbijagas General Manager Dušan Bajatović and Nomagas Executive Director Muhamet Elmazi, confirms the pipeline’s border crossing point, an important step in preparing technical documentation and project implementation, according to a press release from Srbijagas.

The interconnector’s planned two-way capacity is 1.5 billion cubic meters of natural gas per year. The feasibility study, financed through the Western Balkans Investment Framework (WBIF), is expected to be completed soon, according to a statement by Nomagas.

The interconnector’s planned capacity is 1.5 billion cubic meters

In North Macedonia, the interconnector would be connected to the existing Klečovce gas pipeline, and in Serbia, to a pipeline in Vranje that has already been built. Its total length would be approximately 70 kilometers – about 47 kilometers in Serbia and 23 kilometers in North Macedonia.

The memorandum reaffirms the political will expressed in a memorandum signed by the two countries’ relevant ministries in October 2024, particularly the importance of interconnecting energy markets, strengthening the security of gas supply, and diversifying supply routes, according to Srbijagas.

With this document, the two sides also declare their support for increased cooperation between Southeast European countries and the establishment of a regional energy market as part of the European Union’s internal energy market.

Serbia-Romania interconnector project to be presented in September

Srbijagas has also signed a memorandum of understanding with Romania’s national gas transmission system operator SNTGN Transgaz. On the sidelines of a meeting in Bucharest, the two companies’ top executives agreed to present a joint plan in September for a gas interconnection.

The project involves the construction of a new natural gas pipeline to link the BRUA pipeline in Romania with the Mokrin hub in Serbia. The plan is also expected to include the construction of a gas pipeline between Južni Mokrin and Belgrade, via the Banatski Dvor underground gas storage facility and the city of Pančevo, according to a press release from Srbijagas.

The Serbia-Bulgaria gas interconnector was put into trial operation at the end of 2023.

Post Views:54
July 2, 2025
by in News

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.

Post Views:14
June 11, 2025
by in News

Serbia’s EMS starts construction of third section of Trans-Balkan Corridor

The foundation stone was laid today in Serbia for the third section of the Trans-Balkan Electricity Corridor. The investment amounts to EUR 100 million. It entails a high-voltage overhead power line of 109 kilometers between Obrenovac and Bajina Bašta, equipping two new switchyards in the Obrenovac transformer substation and upgrading the Bajina Bašta substation to 400 kV. The fourth and last section, with the interconnections with Bosnia and Herzegovina and Montenegro, is planned to be completed in 2028.

Serbian Minister of Mining and Energy Dubravka Đedović Handanović said at the groundbreaking ceremony for the third section of the Trans-Balkan Corridor that it is the most important project for the transmission system not only in the country but in Southeastern Europe.

“What highways are for transportation, high-voltage power lines are for energy, and today we are beginning the works on the new part of the most important energy highway,” she said in Obrenovac and added that the segment would enhance the security of supply for consumers in western Serbia.

The third section of the Trans-Balkan Electricity Corridor involves the construction of an overhead power line of 109 kilometers on 309 towers, equipping two new switchyards in the Obrenovac substation and lifting the voltage level in the Bajina Bašta substation to 400 kV.

The project is financed with a EUR 64.5 million loan from Germany’s KfW Development Bank, a grant from the European Union via its Western Balkans Investment Framework (WBIF) of approximately EUR 21 million, and own funds of the Serbian transmission system operator Elektromreža Srbije (EMS), according to the state-owned company’s announcement. The third section is worth EUR 100 million, of which EUR 71 million is for the overhead power line.

“With the completion of the entire project, we will additionally strengthen the links with Bosnia and Herzegovina and Montenegro and beyond, with Italy,” Đedović Handanović stated.

She recalled that significant transmission grid investments are planned in the next five years, including the construction of the Pannonian Corridor toward neighboring Hungary. The priority projects in the segment are worth EUR 500 million in total, the minister revealed.

“I expect the contractors not to be late with the works, so that the project is completed within two and a half years, as it is planned,” Đedović Handanović stressed.

Matejić: Final section to be finished in 2028

General Manager of EMS Jelena Matejić said the construction of the entire Trans-Balkan Corridor is worth more than EUR 200 million. She noted that it includes 323 kilometers of 400 kV power lines, voltage level upgrades for two transformer stations and switchyards in three of them.

The investments in the Trans-Balkan Corridor are estimated at more than EUR 200 million altogether

“Except this section, the third one, we will also have the fourth, for which the funds have been secured, and it will be finished in 2028,” Matejević asserted.

The old lines in western Serbia of 220 kV will be replaced with new, 400 kV systems, which will create possibilities for connecting the planned Bistrica pumped storage hydropower plant to the grid, according to EMS. The contractor is Kodar Energomontaža, and the works are expected to be completed by 2027.

EU donated EUR 38.3 million for Trans-Balkan Electricity Corridor

Head of the EU Delegation in Serbia Emanuele Giaufret pointed out that the funds the EU has earmarked for the current section are part of wider support.

“The EU has secured a EUR 38.3 million donation for the whole Trans-Balkan Corridor, together with KfW’s favorable loans. Over the years, the EU has earmarked more than EUR 1 billion for the energy sector in Serbia. This project is important for the rest of Europe as well, because it will contribute to the creation of a wider, integrated system, which will enable a more stable supply to consumers on the entire continent, as well as to avoid problems in the future,” he stated, as quoted by EMS.

The first section of the Trans-Balkan Corridor, from the city of Pančevo near Belgrade to the Romanian border, was finished in 2017. The second one, between Kragujevac and Kraljevo in central Serbia, is operational since 2022. It included substation upgrades in the two cities. The fourth section needs to connect Bajina Bašta with nearby Višegrad in Bosnia and Herzegovina, and with Pljevlja in Montenegro.

Post Views:47
May 17, 2025
by in News

Works beginning on North Macedonian side of gas interconnector with Greece

The North Macedonian section of the gas interconnector with Greece is expected to be completed by early 2027. The construction contract was signed by the Ministry of Energy, Mining and Mineral Resources, domestic contractor Rapid Build and the country’s gas transmission system operator Nomagas.

The construction of the gas pipeline connecting North Macedonia with Greece is set to begin in a month, according to officials. Land expropriation is 90% complete. The initial capacity of the interconnector would be 1.5 billion cubic meters per year, with a potential to double it. The works are expected to be completed within 22 months.

„With the signing of the contract for the construction of the Macedonian section of the gas interconnector with Greece, we are marking the beginning of the largest energy investment in North Macedonia in the last ten years. The interconnector is proof that when there is political will, regional trust, and professional dedication – the results are real and tangible,” said Minister of Energy, Mining and Mineral Resources Sanja Božinovska.

The contract was signed by the ministry, contractor Rapid bild, based in Kumanovo in North Macedonia, and the country’s gas transmission system operator Nomagas. The future pipeline would be able to carry both natural gas and hydrogen.

Repeated tender slashes price by EUR 12 million

The winning bid was EUR 59.9 million or EUR 12 million less than in the initial tender, which was annulled.

The project is worth over MKD 5.1 billion (EUR 82.9 million). It is financed by the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD). It includes grants of EUR 2.5 million for technical assistance and another EUR 9.9 million via the Western Balkans Investment Framework (WBIF).

The project is financed by the EIB and EBRD

„This contract ensures diversification and access to a greater number of natural gas sources, enables economic development, progress and environmental protection, and contributes to the security of energy supply,” said Executive Director of Nomagas Muhamet Elmazi.

Gasification would significantly improve air quality, especially in areas where wood and fuel oil are currently used for heating.

Greek section of interconnector under construction since February

On the North Macedonian side, the interconnector route is 68 kilometers long, out of a total of 123 kilometers. It will run from Nea Mesimvria in Greece through Evzoni (Mačukovo) and Gevgelija at the border, to Negotino. The next phase involves building gas links from Gostivar to Kičevo (34 kilometers) and from Sveti Nikole to Veles (28 kilometers).

Greek company Terna began constructing its country’s section of the pipeline in February.

Nomagas and Greece’s National Natural Gas System Operator (DESFA) made their final investment decision a year and a half ago.

The companies leaned the investment on the project for the Alexandroupolis LNG Terminal. The liquefied natural gas facility in northeastern Greece was opened on October 1. However, due to a malfunction, it has been out of operation for more than three months. According to the latest update, gradual reactivation is expected to begin by the end of May.

Post Views:87
April 29, 2025
by in News

European Commission launches call for investment in green transition, critical raw materials in Western Balkans

As part of its Growth Plan for the Western Balkans, the European Commission has invited private businesses from the EU, the European Economic Area (EEA), and the region itself to express interest in investing in sectors including the green transition, critical raw materials, sustainable transportation, and digitalization.

The objective is to open a dialogue on concrete investment opportunities and identify ways to overcome related constraints in the Western Balkans region, according to the call for expressions of interest.

Although financial support is not guaranteed, the European Commission could potentially back some projects with its available policy, technical, and financial instruments. It may also facilitate contact with partner financial institutions for potential financial cooperation on eligible projects.

Financial support is not guaranteed, but some projects could be backed by the European Commission or referred to financial institutions

Proposed investments must take place in one or more of the following economies: Albania, Bosnia and Herzegovina, Kosovo*, North Macedonia, Montenegro, and Serbia. The minimum investment threshold is EUR 10 million, and the required participation by the project promoter is at least 15% of the total value of the investment project.

The deadline to submit expressions of interest is May 21

The first phase of the call is open for submissions until May 21, but it may be reopened for subsequent phases, depending on the number and scope of submissions received.

Investment in green transition, critical raw materials, sustainable transportation

The priority areas are based on the strategic priorities of the Growth Plan for the Western Balkans and the Western Balkans Investment Framework (WBIF), focusing on key economic sectors where foreign investment is needed.

In the area of the green transition, investments are required in renewable energy, energy efficiency, and innovative energy technologies in order to reduce dependence on fossil fuels, foster a circular economy, mitigate climate change, and modernize energy, water, wastewater treatment, and waste management infrastructure, according to the call.

Ensuring environmentally responsible access to critical raw materials

When it comes to critical raw materials, investments are needed to ensure reliable and environmentally responsible access to such materials, in order to support the development of key industries across all supply chain stages, according to the European Commission.

The other areas envisaged by the call are sustainable transportation, including urban mobility; the digital transition, including the roll-out of 5G; integration into the EU industrial supply chains; sustainable tourism; human capital development; and impact finance, including setting up private funds to invest in projects with a strong green and/or social impact.

Post Views:55
April 6, 2025
by in News

Kosovo* receives financing for 120 MW solar power plant on coal ash dump

The European Investment Bank is providing a EUR 33 million loan for a solar power plant of 120 MW in peak capacity. Government-controlled power utility KEK plans to install it on its former coal ash dump near Prishtina.

The European Investment Bank (EIB) signed a EUR 33 million investment loan for the construction of a photovoltaic plant in Kosovo* with a connection to the grid of up to 100 MW, translated to 120 MW in peak capacity.

The financing package for the Solar4Kosovo project is part of the European Union’s Economic and Investment Plan for the Western Balkans of EUR 9 billion in grants. It is aimed at mobilizing a total of EUR 30 billion.

Solar power project involves EUR 32 million EU grant

The proposed facility is expected to produce 169 GWh per year, EIB said. The location, owned by government-controlled Kosovo Energy Corp. (KEK), is on the former ash dump of its Kosovo A power plant. The electricity producer is also getting a EUR 32 million grant via the EU’s Western Balkans Investment Framework.

“As one of the largest renewable energy developments in the region under Team Europe, this project will help Kosovo* achieve its energy security and renewable energy goals. Together with the European Commission and other partners, we are glad to be able to jointly help Kosovo* lay the groundwork for the decarbonisation of the local economy and diversification of the energy mix, in line with the EU Green Agenda,” said EIB’s Vice-President Kyriacos Kakouris.

Investment valued at EUR 107 million in total

Germany’s KfW Development bank is providing a EUR 29 million loan. The project’s total value, including KEK’s own funds, is estimated at EUR 107 million. The solar power plant between the towns of Obiliq/Obilić and Fushë Kosova (called Kosovo Polje in Serbian), near Prishtina, would have an underground connection to the existing substation at the Kosovo A thermal power plant.

“This project, the largest of its kind in the region, not only guarantees a sustainable energy production method but also accelerates Kosovo’s shift from conventional energy sources,” according to Kosovo’s Minister of Finance, Labour and Transfers Hekuran Murati.

Kosovo* is dependent on obsolete Kosovo A and Kosovo B coal plants for almost all its electricity. Renewables projects are gradually gaining traction.

The other part of the Solar4Kosovo project is for a solar thermal facility for the nearby capital city’s district heating system. The site is in the village of Shkabaj (Orlović) in Obiliq municipality.

In other news, the government in Prishtina established Energy Storage Corp. or ESCorp. It will manage the project for batteries with total operating power of 125 MW and 250 MWh in capacity. It is funded by the Millennium Challenge Corp. (MCC) of the United States.

The remaining 45 MW (90 MWh) is expected to be owned by Transmission, System and Market Operator (KOSTT). The battery systems are envisaged to store surplus electricity and stabilize the frequency in the transmission system. They are valued at USD 180 million altogether.

Post Views:1,060
* 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.
  • 1
  • 2