Foreign companies interested in building wind farms in Serbia

Following the government’s decision to provide additional incentives for private investors looking to invest in renewable energy sources, three foreign companies are gearing up to start building wind farms in Serbia soon – the Danas daily learns.

Even though the Ministry of Mining and Energy has not confirmed this, according to the information of the Belgrade-based newspaper, the companies in question are based in the USA, Israel in Belgium and are very interested in investing in this lucrative business. Everyone interested in taking part in RES projects in Serbia can count on incentives. More precisely, Elektroprivreda Srbije (EPS) is obliged to purchase electricity from such producers at prices far higher than those at which EPS itself produces and sells electricity. This is the reason why bills in Serbia are higher – EPS is already buying electricity from certain RES producers.

Slobodan Ruzic, former deputy minister of energy, says that the incentives adopted by the Government of Serbia last year are good and useful and that they will enable the construction of wind farms in the country soon.

– At the moment, we already have two or three wind turbines, but their power is small, not exceeding ten megawatts. Since the state has provided additional guarantees to investors, there’s now a real possibility of starting to raise at least one big wind farm this autumn and to have one such facility of 100 to 150 MW of power fully constructed and connected to the distribution network by the end of the next year. This would be important for Serbia for numerous reasons.

Regardless of the incentives, there are still no large-scaled wind farms being built. A few years ago, building and other required permits posed a problem, while today it is lack of money. Building a wind farm costs between 100 and 200 million EUR, and investors usually turn to loans as a source of financing. However, banks are very reluctant to approve loans for this purpose because there are no guarantees as yet, at least not in Serbia, that the money invested in renewable energy resources, would yield good return.

(Danas, eKapija, 04.06.2017)

This post is also available in: Italiano

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