Federation of BiH adopts three energy laws

The Government of the Federation of Bosnia and Herzegovina (FBiH) adopted three laws which, among other things, create the conditions for the development of citizen energy – the establishment of energy communities and the introduction of prosumers.

Until the entity parliament passes the bills, the Federation of Bosnia and Herzegovina will remain the last part of Europe without a legal framework for citizen energy.

On December 8, the Government of FBiH has adopted the proposals for the laws on electricity, on energy and regulation of energy activities, and on the use of renewable energy sources and efficient cogeneration. It said the aim of the regulation is to improve the legal framework and harmonize it with the European Union’s rules.

Three completely new laws have been prepared

The Federal Ministry of Energy, Mining and Industry has prepared three completely new laws. The laws on electricity and on the use of renewable energy sources and efficient cogeneration already exist, since 2013, but amending them would be too extensive, while the law on energy and the regulation of energy activities did not exist until now.

The electricity bill was prepared to harmonize the regulatory framework with EU and the Energy Community regulations. The proposed law is intended to improve the legal framework in the electricity sector and the system to control the construction of production facilities. It includes a ban on the construction of small hydropower plants.

The electricity bill includes a ban on the construction of small hydropower plants

The new laws are supposed to simplify administrative procedures for the construction and operation of production facilities that use renewable energy sources, primarily solar and wind power plants.

The renewables and efficient cogeneration bill aims to promote and regulate the production of electricity, heat, and cooling from renewable energy sources and efficient cogeneration systems, and the use of green energy in transport.

The proposal contains the reform of the incentives system

The proposed law would also reform the incentives system as one of the obligations within the Energy Community. At the same time, citizens will be able to participate in the decarbonization of the energy sector, the ministry said.

The bill on energy and regulation of energy utilities covers the creation and implementation of energy policy and development planning. It defines how the regulatory body is organized and operates.