CHP plant as a solution for Sokolac district heating company

Head of Sokolac Municipality Milovan Bjelica had a meeting with consultants of the European Reconstruction and Development Bank (EBRD) to discuss a project of a 5 MW cogeneration plant, powered by biomass, with a value estimated at EUR 5.1 million, reported portal ekapija.ba.

”CHP plant project is a capital project with a technical support before and during the implementation. EBRD will provide full financing for the feasibility study, complete documentation for tender preparation and tender announcement for potential investors.

Sokolac Municipality decided to proceed with this project in the form of public private partnership with potential investors and we hope to obtain solid support and favourable credit line for potential investor from EBRD,” Bjelica said and added that the municipality will participate in the project with its own funds.

The construction of a CHP plant in Sokolac would solve the problem of district heating. At the moment, municipality owns and operates a small heating system. New CHP plant would be located in the vicinity of the existing boiler house. The initial capacity would be 4 MW of heat and 1 MW of electric energy.

The whole project totals EUR 5.1 million whereas the investor’s contribution would be EUR 4.5 million and Sokolac municipality would participate with EUR 600.000.