Germany’s energy and climate cooperation with Serbia improves people’s lives

Projects implemented by Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH and the KfW Development Bank in Serbia have introduced modern heating systems to many towns, improved insulation in public buildings and promoted renewable energy to benefit citizens and local communities. Anke Konrad, the German Ambassador to Serbia highlighted these achievements during the interview with the Balkan Green Energy News, commemorating the 25th anniversary of the German Development Cooperation in the country. She emplasized that these initiatives enhance people’s quality of live, reduce emissions and contribute to environmental protection.

Ambassador Konrad also pointed out that the long-term Regional Climate Partnership with the Western Balkans is based on shared values and goals, aimed at investing in more secure and climate-resilient future.

Ambitious reductions of harmful emissions go hand in hand with a strong economy, German Ambassador to Serbia Anke Konrad says. GIZ and KfW are supporting the country’s green transition, which includes a rising solar power capacity, she noted and called it an enormous success.

Climate action is not a cost, but a strategic investment, Ambassador Konrad pointed out.

This year marks the 25th anniversary of development cooperation between the Federal Republic of Germany and the Republic of Serbia. What are the cornerstones of this partnership, and what significant achievements have been realised over the years?

This year, we look back with pride on 25 years of successful development cooperation that has delivered tangible benefits to people all over Serbia, has brought our two countries closer together, and Serbia closer to the European Union. From the outset, Germany’s support has focused on strengthening institutions, supporting economic growth, and improving living standards. Together with our Serbian partners, we have achieved progress in training and vocational education, good governance, environmental protection, and infrastructure development.

For example, thousands of students and hundreds of companies participate in dual education programmes every year. In digitalization projects, more than 2,000 small and medium-sized companies improved their productivity and competitiveness through digitalizing internal procedures. Another great example are digital services for individuals, such as the seasonal worker portal or the Register of Administrative Procedures, an online register for all administrative services with over 2.2 million registered “e-citizens”.

We look forward to continuing to implement projects that will improve the lives for people in Serbia and support Serbia on its path towards the EU

In 2022, the installed capacity for solar energy generation was at 6 MW. Now it stands at 84.4 MW. This equals a reduction of 118,000 tons of CO2 emissions per year. Where there were 400 solar energy prosumers in 2022, now there are almost 4,000. This represents an enormous success toward combating climate change and creating a sustainable economy. We have supported this transition both through technical advice by GIZ and investments by KfW.

What makes our partnership special is its continuity, reliability and spirit of co-creation. We work together with Serbian partners and citizens, building on a strong foundation of dialogue, cooperation and shared responsibility. In this spirit, we look forward to continuing to implement projects that will improve the lives for people in Serbia and support Serbia on its path towards the EU.

Let us turn our attention to energy and climate-related matters. Germany plays a vital role as one of Serbia’s primary partners in supporting the country’s energy transition and climate efforts. Which specific areas of collaboration would you like to highlight?

Combatting climate change and the transition to green energy are some of the most pressing questions of our time. As we are following the 30th UN Climate Change Conference taking place in Brazil in November, it’s clear that international partnerships, innovation and practical initiatives to reduce emissions are key to preserving our environment and, with that, our prosperity and security. Reduction of CO2 emissions will lead to significant health benefits as a result of cleaner air.

That is one of the reasons why energy and climate cooperation has become one of the most visible parts of our partnership with Serbia. Together, we are enabling Serbian citizens to use more clean energy from wind, sun and water, and to make homes, schools and businesses more sustainable and more energy efficient.

Through our projects that are implemented by GIZ and KfW, many towns now have modern heating systems, better-insulated public buildings, and new renewable energy projects that benefit local communities.

This work is not only about technology – it is about improving people’s daily lives, lowering harmful emissions, and protecting the environment for future generations.

What is the current landscape for German companies operating in Serbia’s energy sector? We have noticed a notable presence of technology firms compared to development companies, which raises questions about the level of interest from German investors in Serbia and the wider Western Balkan region. What factors might contribute to this observed reluctance among German investors?

German investors very much believe in Serbia, its business environment and its progress on the path towards the European Union. That is a major factor why over 900 companies with German capital are operating in Serbia.

Altogether, they account for 6% of Serbia’s GDP and provide employment to over 80,000 people. German companies in Serbia are here to stay.

Future investment decisions will depend on a wide variety of factors. Apart from global developments and trends, Serbia’s reform efforts, the efficiency of public institutions, transparency, rule of law and the fight against corruption are important factors when it comes to investment decisions. A predictable and fair investment environment and steady progress towards the EU offer the best prospects for growth and prosperity.

The ongoing efforts to decarbonise the energy sector and transform the economy towards greener and more climate-friendly solutions have been pivotal in the policies of both the European Union and the German government, which is an integral member of the EU. In light of the current economic stagnation and heightened security concerns that are impacting the budget, will Germany continue to uphold its commitment to this crucial agenda to the same extent?

The European Union aims to become climate-neutral by 2050. This binding goal is enshrined in the EU Climate Law and it is the basis for our commitment to reduce emissions and achieve climate targets. Germany will continue to lead by example. We want to demonstrate that ambitious emissions reductions go hand in hand with a strong economy. And we will continue to invest in climate action worldwide because decarbonization offers vast potential for innovation and economic development.

Here in the region, we have partnered with the Western Balkans to establish Germany’s first regional climate partnership in 2022. At the 2022 summit of the Berlin Process, Germany has pledged EUR 1.5 billion by 2030 to support the fight against climate change and the use of renewable energy in the region. Much of this support has already been commissioned.

Much of the EUR 1.5 billion in Germany’s support for climate action and renewable energy has been materialized

We see climate action not as a cost, but as a strategic investment in our future. It contributes to diversification of energy sources and helps with energy security and thus stability. It can have a positive impact on long-term economic competitiveness. Crucially, joint climate action protects our planet as a place where we can all continue to prosper.

Within the Regional Climate Partnership, we have a structured dialogue on carbon-pricing readiness, renewable energy deployment, power market integration and just transition. This long-term cooperation aims to help partners in the region to advance their energy and climate goals in line with EU standards, ensuring that the benefits of the energy transition reach citizens, communities, and businesses. For Germany, this is a long-term partnership grounded in shared values, shared goals, and an investment in a more secure and climate-resilient future considering the need for strong interconnectivity within Europe.

Germany is Europe’s solar and wind energy front-runner. What valuable insights can be gleaned from this experience that may be beneficial for Serbia in its pursuit of renewable energy advancements?

Germany’s experience shows that the energy transition is achievable when there is clear political will, a stable regulatory environment, and strong public participation. Success depends on combining large-scale renewable projects with opportunities for citizens and municipalities to invest and benefit directly.

Serbia has great potential to apply these insights, building on its natural resources, skilled engineers, and growing public interest in clean energy.

GIZ has been actively supporting WISE Serbia, a network dedicated to empowering women in the fields of sustainable energy, climate action, and environmental protection. In your opinion, does the energy sector provide equitable opportunities for both men and women in Serbia and globally? Also, would you advise girls and young women to pursue careers in those industries?

The energy sector is changing rapidly, and this transformation opens new doors for women to take leading roles in technology, management, and innovation. While there is still progress to be made, both in Serbia and globally, we already see many talented women engineers, researchers, and entrepreneurs shaping the transition to clean energy.

To give some perspective, change is already very visible at the university level, where around 40% of power engineering students at the University of Belgrade are women.

Initiatives such as WISE Serbia play a key role in giving visibility, confidence, and networks to women

We can look to role models in this field, such as this year’s recipient of the Female Leader in Sustainable Energy award, Ljiljana Velimirović. Initiatives such as WISE Serbia play a key role in giving visibility, confidence, and networks to women in this field, which still has great further potential.

My advice to girls and young women is clear: follow your curiosity and ambition, the energy transition needs your creativity and commitment just as much as it needs new technology.