Electricity

US firm eyes construction of three gas-fired power plants in BiH

bih southern gas interconnection power plants covic ustda bechtel

Photo: The House of Peoples of the Parliamentary Assembly of BiH

Published

January 21, 2026

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Published:

January 21, 2026

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A US company is interested in building three gas-fired power plants in Bosnia and Herzegovina, according to Dragan Čović, First Deputy Speaker of the House of Peoples of the Parliamentary Assembly of BiH.

The natural gas power plants would be connected to the planned Southern Gas Interconnection and the liquefied natural gas (LNG) terminal in Krk, Croatia, Dragan Čović explained in an interview with Avaz.

The Southern Gas Interconnection is a project designed to provide BiH with an alternative natural gas supply. The country currently relies on Russian gas delivered via Serbia, while the new pipeline would secure imports from the Croatian LNG terminal. The interconnection has been in development for many years, but construction has yet to begin.

Čović revealed that the power plants would be built in the Mostar area, central Bosnia, and in Tuzla. He expressed the belief that the interconnection is crucial for BiH, arguing it would ensure the country’s long-term energy and political stability.

Čović spoke with Bechtel’s representatives

Because the pipeline passes through areas with a majority Croat population, the project is also of strategic interest to the Croat people in BiH, added Čović, who is also the president of the Croatian Democratic Union of Bosnia and Herzegovina (HDZ BiH).

Čović recently met with representatives of US construction company Bechtel and the United States Trade and Development Agency (USTDA), which provides financing and technical support for international projects. Bechtel is currently being considered as a potential contractor for the pipeline’s construction.

He met with Justin Siberell, Bechtel’s President for Regions and Corporate Relations, and Sam Kwon, the USTDA’s General Counsel.

AAFS Infrastructure and Energy also visited BiH

The guests from the US also met with Acting President of the Republic of Srpska Ana Trišić-Babić and Minister of Energy, Mining and Industry of the Federation of BiH Vedran Lakić. FBiH and the Republic of Srpska are the two entities making up BiH.

Earlier, representatives of US-based AAFS Infrastructure and Energy also visited the country. According to Čović, the company is expected to receive a 30-year concession to manage the gas pipeline through BiH.

He explained that the three proposed power plants were included in the letter of intent that the firm sent to BiH authorities. The US partners’ plans extend far beyond the construction of the pipeline, he added.

A broader geopolitical dimension

Čović expressed the belief that these investments would carry a significant geopolitical dimension, claiming that if the US invests somewhere, that region is protected. This is demonstrated by the policy of President Donald Trump around the world, he added.

Čović dismissed claims that HDZ BiH is hindering the construction of the gas pipeline due to disagreements with Bosniak officials about project details. It is in the strategic interest of the Croat people to implement it, he stressed.

Of note, the Republic of Srpska has also announced plans to build gas-fired power plants and a new gas interconnection with Serbia.

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