Renewables

Republic of Srpska grants two concessions for solar power plants

bih concession solar ljubinje trebinje cicevo bancici srpska

Photo: WikimediaImages from Pixabay

Published

February 18, 2025

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Published:

February 18, 2025

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The Government of the Republic of Srpska in Bosnia and Herzegovina approved concessions for two solar power projects. Their total capacity would be 110 MW.

Ljubinje-based KH Alter Energy is eligible for a concession for the Bančići project while solar power plant Čičevo would be built by Modul Energy from Banja Luka.

Banćići is going to be installed in the municipality of Ljubinje while the site for Čičevo is on the territory of the city of Trebinje. The concessions are for 50 years.

Following the government’s approval, consent also came from the Commission for Concessions of the Republic of Srpska for awarding the two contracts. The second precondition for signing them is a green light from the attorney general’s office.

The deadline to sign a contract is 60 days and it expires in early April.

Solar power plant Bančići will be installed only 8.5 kilometers from the seat of the local authority’s building

KH Alter Energy has obtained the right to install and operate the Bančići photovoltaic facility. The plant would have a capacity of 102.2 MW and an estimated annual output of 144.57 GWh.

The Bančići location spans over 130 hectares. It is 8.5 kilometers from the seat of the Municipality of Ljubinje. Before signing the contract, the firm has to submit a one-off payment to the budget of the Republic of Srpska of BAM 772,553 (EUR 395,000).

After the facility becomes operational, the concessionaire will be obligated to pay a concession fee of BAM 0.0055 (EUR 0.0028) per kWh of generated electricity.

Minister Petar Đokić is authorized to sign the concession contracts with investors

The concession for the Čičevo solar power plant was awarded to Modul Energy from Banja Luka. The installed capacity of the plant would be 8 MW, and the estimated annual production amounts to 11.43 GWh. It will span 10.5 hectares south of Trebinje, near Poljica.

The firm’s obligatory one-off payment is BAM 326.091 (EUR 166.728). The concession fee is the same as for the first project.

The concession contracts will be signed by Minister of Energy and Mining Petar Đokić.

Of note, concessions are the most often used model for the investors to install and operate PV plants or wind farms in both entities of BiH – the Republic of Srpska and the Federation of BiH.

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