Montenegrin DSO to reduce grid losses to below 10%

Montenegrin distribution system operator (DSO), Crnogorski elektrodistributivni sistem (CEDIS), has reduced losses in its grid from 12.93% to 10.84%, and plans to lower them below 10% by the end of the year, according to Vladimir Ivanović, the company’s executive manager.

Over the last three years, CEDIS maximized its efforts to reduce distribution network losses, which was of crucial importance amid the global instability in energy markets, Vladimir Ivanović told Pobjeda.

He said the losses were reduced from 12.93%, registered at the end of 2020, to 10.84% by the end of last year.

Ivanović attributed the progress to the activity of the company’s metering department. It tackled illegally connected facilities, managed losses in areas under individual substations and expanded phase 3 of the Advanced Metering Management (AMM) project.

Locating illegal connections is a very difficult job

He noted that illegal construction implies an illegal connection to the grid and grid losses. The infrastructure is additionally burdened, increasing maintenance costs and reducing investment effect, Ivanović said.

In his view, locating illegally connected facilities and switching them to legal operation is an arduous process.

Ivanović stressed the plan is to decrease losses below 10% by the end of the year, in particular to 9.99%, while that an additional reduction is expected in the coming years.

CEDIS has procured more than 80,000 meters

Based on the current projections, in his words, CEDIS should achieve a positive result this year from its business activities.

However, a net loss can be expected due to amortization expenses, resulting from an increase in property value, which the company can’t control, he added.

Turning to electricity meters, Ivanović noted that the company has bought more than 80,000 devices at tenders. The number is sufficient for a longer period, he said.