Linglong, HBIS to become first major active electricity consumers in Serbia

Chinese companies Linglong and HBIS are set to become the first major active consumers in Serbia’s electricity market.

Car tire maker Linglong and HBIS, the owner of the Smederevo steel mill, have submitted the first applications in Serbia to connect their solar power plants to the transmission system as active consumers, or active buyers, as they are referred to in Serbian law.

Applications were made possible by the Serbian government’s decision to amend the decree on conditions for the delivery and supply of electricity. The active buyer status allows end consumers to produce, but also consume, store, and sell the electricity they generate.

The status was introduced by amendments to the Energy Law in November 2024. However, it could not take effect until the decree had been amended as well.

Linglong International Europe and HBIS GROUP Serbia Iron & Steel have submitted their requests to Elektromreža Srbije (EMS), the country’s transmission system operator.

The two solar plants will have a combined capacity of over 103 MW

Linglong is seeking a grid connection for its 39.9 MW Ling Long solar plant in Zrenjanin, where its manufacturing facilities are located. According to EMS’ website, the power plant is scheduled to be online in 2027.

The HBIS Group Iron&Steel-Smederevo photovoltaic plant is scheduled to start generating electricity a year later. Its grid connection approval is for 63 MW.

Currently, the largest operational solar park in Serbia has a peak capacity of 26 MW. It consists of two PV plants, with a connection approval for 9.999 MW. They are connected to the distribution network.

The applications from both Chinese firms are complete, EMS said. The two plants are to be connected to the internal installations of their facilities in Zrenjanin and Smederevo.

The two applications are among 30 complete applications for grid connection, out of a total of 80 applications submitted.

The amended decree sets out rules for active buyers

The amendments to the decree on conditions for the delivery and supply of electricity introduce rules for active buyers. Entities within this category can participate in the electricity market directly or through aggregation, sell the electricity they generate via power purchase agreements (PPAs), use their own output exclusively for their own needs, and participate in flexibility services and energy efficiency schemes.

A power plant’s capacity must not be less than 150 kW or exceed the approved grid connection capacity. The same applies to a battery system in generation mode.

The study development periods for active buyers are from March 1 to June 30 and from September 1 to December 31.

Upon delivery, it is obligatory to provide a bank guarantee for the power plant or energy storage facility project, in the amount of EUR 12,500 per MW of connection capacity to the alternating current grid.