Bosnia and Herzegovina: Hrgud wind farm construction project, SEE Energy News
The construction of the Hrgud wind farm was planned to start this year, but it was delayed. At the meeting between the Minister of Energy and Mining of the Republic of Srpska (RS) Petar Djokic and the representatives of the German Development Bank (KfW), it was agreed that the KfW is prepared to accelerate some of the activities on the project for the construction of Hrgud wind farm.
Public procurement plan for 2020 of state-owned power utility ERS envisaged an investment of over 63 million euros in the construction of in eastern Herzegovina. Although many wind projects have been announced in Bosnia and Herzegovina over the years, only EP HZHB operated Mesihovina wind farm in the Federation of Bosnia and Herzegovina has been commissioned so far. Installed capacity of wind farm Hrgud will be 48 MW, with the annual generation of some 126 GWh of electricity. The total investment in this project is estimated at about 63.9 million euros, of which some 60 million euros will be provided through loans by KfW Bank. In September 2015, the investor, power utility ERS, signed the concession con-tract for the construction and operation of wind farm with RS Government. In November 2017, an agreement with German KfW bank on the 60 million euros loan for the construction of Hrgud wind farm was signed. The loan has a repayment period of 15 years, with a grace period of four years. The loan agreement has been approved by the Parliament of RS in late 2016.