Hydropower plant Ulog in BiH receives energy license

EFT Group’s Ulog hydropower plant in Bosnia and Herzegovina, which was completed last year, won regulatory clearance for regular operation. Environmentalists have campaigned against the 35.1 MW project, pointing to risks for the Neretva river’s ecosystem.

The Regulatory Commission for Energy of the Republic of Srpska issued an electricity production license to project firm EFT HE Ulog. It is a subsidiary of power plant operator and electricity trader EFT. The company built hydropower plant Ulog near Kalinovik in the south of Bosnia and Herzegovina. The Republic of Srpska is one of the country’s two entities and the other one is called the Federation of BiH.

The facility on the upper part of the Neretva river has a capacity of 35.1 MW. The firm submitted the request in December and the regulatory body issued the license for a period of five years.

Ulog hydropower plant has two generating units

The Republic of Srpska signed a 33.5-year concession agreement with EFT in 2009 including 3.5 years for preparations. Initial works were halted after a few years and only renewed in 2020. China-based Sinohydro is the contractor, under a turnkey deal.

The investment is valued at EUR 70 million, according to earlier updates. The hydropower plant has two generating units, EFT said. It expects it to generate 85 GWh per year.

During the filling of the reservoir last year, environmentalists claimed that water was passing through cracks between the structure and the ground around it. In 2023, activists published photos of the Neretva river water in the area white from what they said was pollution from carbonates.

Several small hydropower plants were planned in same area

The Federation of BiH opposed the project, arguing that the other entity didn’t consult it. A group of small hydropower plants was planned in the same area.

EFT also owns and operates the Stanari coal mine and power plant, as well as the country’s biggest solar power plant, Bileća. The 60 MW photovoltaic facility suffered extensive damage last summer in a storm. It is located near the eponymous town and lake. Of note, there are several power plants and projects with the same name.