BiH’s Elektroprivreda HZHB Currently Conducting Around 30 RES Projects

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BiH’s Elektroprivreda HZHB Currently Conducting Around 30 RES Projects

Date: November 25^th 2020

Topic: Electricity , RES and EE , Energy policy

Elektroprivreda HZHB, one of the three power utilities in Bosnia and Herzegovina (BiH), is currently working on about 30 development projects of renewable energy sources such as wind, solar and hydro. All the projects are in various implementation phases. Some have just started to be implemented, while others are already in the construction phase. However, all these strategic projects are related to increasing energy efficiency and reducing losses in the production, distribution and consumption of electricity, explained Marinko Gilja, the general manager of Elektroprivreda HZHB, in an interview for Vecernji.ba.

Additionally, Gilja also stated that this year’s pandemic and the extremely bad hydrological conditions so far have resulted in 30% less power production than planned, which will certainly have a big impact on the company’s business results at the end of 2020.

Speaking about the recently announced ban of small hydro power plants (SHPPs) in FBiH, Gilja stated that this is a rather complex issue. “First we really need a clear definition what a small and what a mini hydropower plant really is, because we need to distinguish between these two plants. The contribution of mini hydropower plants to total electricity production is almost negligible, while they also sometimes cause environmental damage. Clear criteria and conditions for construction of such objects should be established, while for construction on protected watercourses and where biodiversity is threatened they should definitely be banned,” said Gilja, according to Vecernji.ba.

BiH’s electricity needs could be covered by solar and wind only

“The possibilities of using solar and wind energy in BiH are huge and potentially all our electricity needs could be covered by these two sources. The International Renewable Energy Agency (IRENA) recently conducted a study to assess the potential of renewable energy sources in this area. According to this study, the cost-effective potential of solar photovoltaic plants in BiH amounts to 2,955 MW of capacities with a potential production of 4,126 GWh. The cost-effective potential of wind parks is 10,619 MW, and the potential production is 22,893 GWh. For the purposes of comparison, the total electricity consumption in BiH in 2019 amounted to 12,330.13 GWh. I would like to point out that the greatest potential for wind and solar energy is in those areas where Elektroprivreda HZHB operates,” stressed Gilja for Vecernji.ba.

Gilja added that Elektroprivreda HZHB welcomes the liberalisation of the electricity market in BiH. “Energy from our renewable production sources, as well as other energy products we offer from our power plants (ancillary services of various types, flexible delivery diagrams, pumping mode, etc.), have become a hit on the market. The World Bank is also currently conducting a project titled ‘Study on market liquidity in BiH’, which will help in the formation of a electricity exchange in BiH,” he stated, reports Vecernji.ba.

Gilja concluded that in terms of electricity price trends, it is clear that prices in Europe are mostly rising and therefore market-defined prices in BiH should follow these trends. “However, if an organised electricity market was to be established in BiH and various water charges and other costs per produced MWh were to be abolished, I am convinced that this would result in a reduction in prices,” mentioned Gilja, according to Vecernji.ba.