News

ERS wins concession for construction of Buk Bijela

Published

May 4, 2016

Comments

comments icon

0

Share

Published:

May 4, 2016

Comments:

comments icon

0

Share

The Government of the Republic of Srpska granted a concession for the construction and operation of hydropower plant Buk Bijela on the Drina river to a consortium organized by state-owned utility Elektroprivreda Republike Srpske (ERS) and its subsidiary Hidroelektrane na Drini from Višegrad. Portal Nezavisne.com reported the the facility will be located in the municipality of Foča in the southeast of Bosnia and Herzegovina, with planned investment of BAM 382 million (EUR 195.5 million).

Petar Đokić, entity minister of industry and energy, said the construction will begin soon. Estimated installed capacity is 93.52 MW with annual production of 332.3 GWh of electricity. The concession is granted for a period of 50 years, the ministry said.

The one-off fee is EUR 391,000 and the concessionaire is obliged to pay at the conclusion of the contract. The yearly fee is 3.6% of annual revenue. A deadline of 12 months was allowed for the establishment of a new company, and the signatory of the agreement will be ERS, with consent by Hidroelektrane na Drini.

“In accordance with the agreement we have with ERS, one year is earmarked for preparatory works and activities, and after that the company for managing the construction of Buk Bijela will be formed,” said Mile Lakić, head of Hidroelektrane na Drini. He added the subsidiary’s stake in the investment will initially be in infrastructure, certain buildings and equipment, worth an estimated total of EUR 9 million.

 

Related Articles

Global battery storage capacity expands record 200 GWh 2024

Global battery storage capacity expands by record 200 GWh in 2024

29 May 2025 - The cost of storing electricity has dropped thanks to the declining cost of battery projects and technological advancements, Rystad says

Olympus CCUS project breaks ground in Greece

Olympus carbon capture project breaks ground in Greece

29 May 2025 - Carbon capture, utilization and storage (CCUS) is a must for the future of the cement industry, Prime Minister Kyriakos Mitsotakis said

CyberGrid is committed to energy transition in SEE with its aggregation solutions Candellari

CyberGrid is committed to energy transition in SEE with its aggregation solutions

28 May 2025 - CyberGrid's Nikolaj Candellari said at BEF 2025 that the firm believes in the energy transition in SEE, contributing to the process with its solutions

electricity market liberalization kosovo

Kosovo’s electricity market liberalization sparks protest by businesses

28 May 2025 - Starting on June 1, businesses with an annual turnover of over EUR 10 million will be required to buy electricity on the open market