CEDIS signs EUR 22 million agreement to upgrade distribution network

Montenegrin distribution system operator (DSO) Crnogorski elektrodistributivni sistem (CEDIS) and the consortium of Montenegrin companies Mezon, Electro Team and Ramel have signed a EUR 22.4 million Framework Agreement for a project to revitalize the medium and low voltage distribution network.

The Framework Agreement was signed for a period of 24 months, the company said on its website.

The revitalization project is part of the investment plan for the period from 2019 to 2021, which envisages implementation of investment projects worth EUR 81.6 million.

Under this project, about 480 km of the medium voltage distribution network and about 8,000 pillars will be upgraded in the period 2019-2021, which is around 13% of the overall medium voltage overhead distribution network.

Also, about 990 km and about 28,000 pillars of the low voltage network will be revitalized, Zoran Đukanović, CEO of CEDIS, said.

The implementation of the project will provide power supply that is more reliable and of better quality, as well as fewer blackouts, and create infrastructure conditions for connection of new customers.

Nikola Kovačević, a representative of the consortium of companies Mezon from Danilovgrad, Electro Team from Budva and Ramel from Nikšić, said that all contracted services will be implemented with the best quality.

Under the EUR 81.6 million program for the revitalization of the medium and low voltage distribution network, in 2019 about EUR 32.3 million is to be invested, in 2020 EUR 27 million and in 2021 EUR 22.3 million.

The largest chunk, about EUR 32.5 million, is to be spent on the medium and low voltage network.

CEDIS has already started with the implementation of a pilot project, which involves the adaptation of the 10kV transmission line “Podgorica from Podanja”, which will test the key segments of the project.

The company also launched tendering in mid-December for the second project to revitalize the medium voltage network in Montenegro worth EUR 4 million. The deadline for the submission of bids is January 22.

Đukanović said that in the last few years, CEDIS invested EUR 100 million in the low voltage network under the smart meters installation project.

Additional EUR 25 million was invested in the primary and secondary network, he noted.